BitMEX co-founder and former CTO Samuel Reed has entered into a deal with US authorities and pleaded guilty to violating the Bank Secrecy Act (BSA), US Department of Justice has reported.
Attorney Damian Williams said in a statement:
“Reed joined fellow BitMEX co-founders Arthur Hayes and Benjamin Delo in admitting that they were at fault for the company willfully violating anti-money laundering requirements for financial institutions in the United States.”
Under the terms of the agreement with the authorities, Reed will pay a fine of $10 million – the amount the Ministry of Justice estimated the criminal proceeds received by him. The maximum penalty for violating the BSA is up to five years in prison.
In October 2020, the US Department of Justice filed BSA violation charges against co-founders of the exchange Arthur Hayes, Ben Delo, Samuel Reed and Greg Dwyer.