A British software engineer has filed a High Court claim in London against HDR Global Trading Limited, the Seychelles-based operator of the now-closed crypto derivatives exchange BitMEX, seeking the return of 324.8 bitcoin valued at approximately $27.2 million.

Lewis Barber, from Chelford in Cheshire, alleges that BitMEX conducted regulated investment activities with him without the necessary authorization from the UK Financial Conduct Authority. The claim, filed in the Commercial Court, centers on 1,053 losing trades executed between 2018 and 2022.

Details of the Claim and Trading Activity

Barber executed roughly 2,294 trades across five accounts on the platform during the four-year period. His legal action focuses solely on the 1,053 transactions that resulted in losses. All of those positions involved perpetual swaps, leveraged derivative contracts that allow speculation on cryptocurrency prices without an expiration date.

As of October 1, the 324.8 bitcoin sought was valued at £20.4 million, equivalent to about $27.2 million based on the rates cited in the filing. Barber seeks the return of the bitcoin itself or damages of equivalent value, plus interest. He is not asking the court to revisit his profitable trades.

The claim relies on the Financial Services and Markets Act 2000. Barber’s lawyers argue that each of the disputed trades constituted a regulated activity requiring FCA authorization, which BitMEX lacked. Under Section 26 of the Act, certain agreements made in the course of unauthorized regulated activity may be unenforceable, and customers can seek recovery of money or property transferred under them.

Barber’s solicitors at Seladore Legal formally notified BitMEX of their intention to rescind the trades in December 2025. The claim also includes allegations of deceit, asserting that the exchange implicitly represented it was legally entitled to offer the products to UK users while knowing it was not authorized.

Marketing, FCA Warning and Service Status

The particulars of claim state that BitMEX actively approached UK users. It allowed new sign-ups to select the United Kingdom as their country of residence and ran international promotional campaigns that did not exclude Britain. The filing specifically cites an advertisement published in The Times on January 3, 2019.

It also references an FCA warning issued around March 3, 2020. The regulator cautioned that BitMEX may have been providing regulated investment services in the UK without authorization and that customers would have no access to the Financial Ombudsman Service or the Financial Services Compensation Scheme.

Although the claim has been filed, it has not yet been formally served on the defendant. A spokesperson for HDR Global Trading Limited stated that no such claim has been served on the company.

Gareth Keillor noted that other UK residents who traded similar products on the platform may have comparable claims, with potential total exposure possibly reaching hundreds of millions of pounds. Any such claims would depend on individual trading histories and circumstances.

BitMEX Closure and Prior Regulatory History

BitMEX ceased all trading activity on September 23, 2026, following a two-month wind-down period after a strategic review. Users retain the ability to access accounts and withdraw remaining funds, though the platform no longer accepts new deposits or positions. The company has said customer funds remain secure.

The exchange and its founders previously faced significant US enforcement actions. Co-founders Arthur Hayes, Ben Delo and Samuel Reed pleaded guilty in 2022 to Bank Secrecy Act violations for failing to maintain an adequate anti-money laundering program. HDR Global Trading Limited itself pleaded guilty to related charges in 2024 and was ordered to pay a $100 million penalty in January 2025.

President Donald Trump issued pardons for the three founders in March 2025. Each had agreed to pay a $10 million fine as part of earlier settlements. Separately, Ben Delo made a £36 million donation to Reform UK, reported as the largest single political donation in British history.

BitMEX also faces a proposed class action in New York alleging bitcoin theft and insider trading. The company has denied those allegations.

The London claim remains at an early stage. No defense has been filed and no hearing date has been set. The case turns on whether the court accepts that the disputed perpetual swap contracts fall within the scope of UK financial services regulation and the remedies available under the 2000 Act.