Warning from ASIC: Bitget accused of offering "unlicensed" crypto futures products in Australia

The Australian Securities and Investments Commission (ASIC) has issued a public warning against Bitget, accusing the cryptocurrency exchange of providing high-risk crypto futures products without a license.

Concerns about high leverage and lack of investor protection

ASIC stated that #Bitget and its parent company BTG Technology Holdings Limited are promoting "unlicensed crypto futures products" to Australian investors. This means that Bitget does not have an Australian Financial Services (AFS) License and is not allowed to encourage Australian investors to engage in its financial products.

The concerning point is that Bitget's products offer leverage of up to 125:1, which is significantly higher than ASIC's 2:1 limit for licensed derivative products. ASIC warns that trading with such high leverage can lead to substantial losses.

#ASIC emphasizes that when investing in unlicensed and unregulated products in Australia, investors will find it difficult to receive assistance when issues arise, and will not be protected by measures such as internal dispute resolution or customer funds protection.

This warning is ASIC's latest move to protect retail investors from speculative, complex, and unregulated crypto financial products. International regulatory authorities in Spain, Austria, Germany, Canada, France, Cyprus, Malaysia, and Japan have also issued similar warnings or legal actions against Bitget since 2022.