BitMEX has finally released the unedited video of its CEO, Arthur Hayes, debating noted economist, Nouriel Roubini, at the Asia Blockchain Summit earlier this month.
The 53-minute long discussion ventured into uncomfortable territories of both the bitcoin and mainstream finance. While Roubini kept his focus on the criminal nature of cryptocurrencies and their evangelists, Hayes projected them as a means to promote financial privacy.
Offering Risky Leverage Services
Roubini opened with a monologue about the “sh***y behavior” of the cryptocurrency industry as he spilled insults over Hayes for running an unregulated cryptocurrency exchange that offers highly risky leverage services. The economist compared BitMEX with businesses that cash on the stupidity of non-accredited, inexperienced investors. He added that BitMEX is an unregulated cryptocurrency exchange that offers highly risky leverage services.
They do not offer 5 times leverage, they don’t offer 10 times either. But they offer 100 times, so even a 0.5 percent move in the price could wipe investors out of their positions,” Roubini told Hayes. “Your business model is all what the cryptocurrency industry is all about: no regulation, no KYC, no audits. You can screw clients financially and it doesn’t matter.
A defensive Hayes admitted that BitMEx offers highly risky leverage services to clients but felt the practice was way too frequent even for a US-regulated entity. The CEO added that their exchange only pitted traders against each other while serving as a custodian to their assets as they go on trading.
I’m not trying to force anyone to use BitMEX. We don’t even do any marketing… Somehow, a few hundred thousand people who have found other oasis and started trading. We are not making people trade bitcoin. No one said you have to go out and own it.