Bitget Slammed by ASIC for Unlicensed Crypto Futures in Australia

The Australian Securities and Investments Commission (ASIC) said that Bitget, along with its parent company BTG Technology Holdings Limited, has been promoting futures trading services that are not licensed in the country.

According to ASIC, Bitget is not registered under an Australian Financial Services (AFS) licence. This means it is not allowed to advertise or offer its financial products to people in Australia.

Did you know?

Want to get smarter & wealthier with crypto?

Subscribe - We publish new crypto explainer videos every week!

What is Algorand? ALGO Coin Explained With Animations

SUBSCRIBE

ON YOUTUBE

Without this license, investors using the platform do not have access to important protections, including dispute resolution and safeguards for their funds.

The regulator said the warning is part of its ongoing efforts to reduce the risks that come with trading complex and unregulated crypto products, especially for everyday investors.

While licensed firms in Australia must limit crypto derivatives to a 2:1 leverage ratio, Bitget allows users to trade with leverage of up to 125:1.

ASIC explained:

Trading in highly leveraged derivative products can result in substantial losses.

They also reminded investors that dealing with unlicensed providers could make it harder to recover losses or get help if something goes wrong.

Bitget is registered with the Australian Transaction Reports and Analysis Centre (AUSTRAC), the agency responsible for monitoring financial crime. However, that registration only covers basic crypto exchange services, and it does not give the company permission to offer or promote futures trading.

AUSTRAC recently outlined a new strategy to combat financial crime by naming cryptocurrency platforms as a top priority. What did the agency say? Read the full story.