[DigitalToday reporter Jinju Hong (홍진주)] Crypto derivatives exchange BitMEX has completed early settlement of 35 derivatives contracts. The move is part of a phased service shutdown ahead of a planned exchange closure in September.

On July 30 (local time), blockchain media outlet CryptoSlate reported that BitMEX early-settled 35 derivatives contracts that day and ended all related trading.

BitMEX settlement records show 33 contracts were settled in a batch at 12:00:05 p.m. UTC. The EUR/USD and USD/CHF contracts were then settled at 12:32:25 p.m. and 12:33:25 p.m., respectively. This completed the early settlement process for the 35 contracts announced on July 22.

BitMEX said the move was an operational procedure due to low trading volumes and its plan to close the exchange. The company also stressed that the settlement was an early settlement, not a forced liquidation. It said this was a process of clearing out poorly traded products and was different in nature from liquidations caused by users’ insufficient margin.

The contracts traded normally until settlement. BitMEX confirmed the final funding rate (F0) by reflecting price data from the previous 8 hours as of 4 a.m. UTC that day, then stopped calculating new funding and set the next funding rate to 0. That reference value was used to calculate the settlement price, but the actual trading halt took place at noon.

With settlement completed, all of the contracts were treated as expired and related orders were automatically cancelled. After completing the final funding settlement, BitMEX closed remaining positions at the announced price and did not charge a separate settlement fee. Profit and loss for each contract was reflected in users’ Bitcoin (BTC) or Tether (USDT) balances, and the positions were then removed from accounts.

The move is also being carried out in line with the exchange closure schedule. BitMEX announced a service shutdown plan on July 23 and immediately stopped new member sign-ups. From 4 a.m. UTC on Aug. 26, it will allow only trades that reduce existing positions and plans to restrict the opening of new positions.

The final service shutdown date is 4 a.m. UTC on Sept. 23. BitMEX plans to force-close all remaining open positions by that time. After trading ends, users will still be able to access their accounts to check balances or withdraw assets.

BitMEX also disclosed a fee policy for users who keep assets on the platform after the closure. Even for accounts that have completed know-your-customer (KYC) verification, a monthly account maintenance fee may be charged if assets remain after the exchange closes, calculated based on the greater of $50 or 1 percent per year.

The market expects users’ asset withdrawals and position unwinding to accelerate in line with the service shutdown schedule. In particular, since only position-reduction trades will be allowed from Aug. 26, users holding open contracts are expected to have to decide on a response strategy before then.