Why former BitMEX CEO sued the exchange

Alexander Hoeptner, the former CEO of BitMEX, has filed a lawsuit for $3.4 million for contract breach and wrongful termination against the bitcoin derivatives platform.

In January 2021, Hoeptner began to work for the Seychelles-registered exchange. It was around this period that top executives at HDR Global Trade Limited, BitMEX’s owner and operator, were being sued for allegedly enabling illegal trading.

Hoeptner’s departure from the company in October 2022 was announced with no further information provided. Hoeptner now alleges that he was fired and the termination letter included reasons such as misusing funds and failing to carry out his responsibilities.

The court filing asserted that “Such termination is wholly wrongful and without basis.”

Hoeptner further claims that BitMEX owes him a total of $3.4 million, which includes $2.4 million for his second-year bonus and smaller sums for the rest of his pay, relocation costs, and accommodation, as evidenced by the court document.

Expressing his disappointment at the unfair treatment he got, Hoeptner, in an interview with CoinDesk, stated that “at the direction of the founders and the board, I put my personal and family lives on hold to be on the ground managing operations in Singapore and HongKong.

I’m disappointed that it has gotten to the point that legal proceedings are necessary, but I’ve been left with no choice.”

According to documents, Hoeptner relocated numerous times while serving as the CEO of BitMEX and divided his time between Singapore, Germany, and Hong Kong. These relocation bonuses, which ought to be paid, were also included in the court filing.

However, sometime between July and August 2022, the corporation warned him that there was a chance he might not get his second-year bonus or any compensation for his relocation as a result of a major cost-cutting and restructuring program which involved multiple layoffs.

At the time of this notification, his relocation expenses were $230,000. A letter of termination was given to him a few weeks later.

Unveiling his bewilderment, Hoeptner said that while with the company, they made great strides, surpassing every goal they had set. He believes this makes his termination unfair and more difficult to comprehend.

Responding to these claims, BitMEX’s spokesperson declined CoinDesk’s request to comment on the claims of their former CEO. However, the spokesperson said that the company would defend these claims vigorously.