Bitget has unveiled the EmpowerX Fund, a grand initiative valued at $100 million. This move represents a significant stride in the realm of cryptocurrency derivatives and copy-trading. The fund is aimed at amplifying the platform’s ecosystem, focusing on investments in exchanges, data analytics, and media.
Furthermore, Bitget’s latest fund is set to explore investments in multiple areas. These include regional exchanges, data analytics companies, media conglomerates, and more. Conversely, This announcement came during Bitget’s fifth-anniversary summit in Singapore, adding to the event’s anticipation.
Moreover, Bitget’s pivotal strategy for ecosystem expansion centers on diversification. This aims to meet the diverse needs of its 20 million global clientele. Additionally, The ultimate objective is to create a comprehensive trading ecosystem. This ecosystem will cover trading, investment opportunities, research capabilities, DeFi integration, media services, and various other functions.
Gracy Chen, the Managing Director of Bitget, offered valuable insights into the dynamic landscape of centralized exchanges (CEX). She emphasized that this evolution is propelled by various factors. Firstly, there’s the tightening grip of regulations.
Additionally, the rapid proliferation of Layer 2 and DeFi technologies is playing a crucial role. Moreover, there’s an anticipation of increased investment, mergers, and acquisitions in the coming months.
Bitget’s Strategic Investment, Expansion, and Data Analytics Initiatives
Bitget has earmarked an initial $100 million for this fund. A spokesperson mentioned that this figure might increase, depending on market conditions and the company’s future strategic moves.
Importantly, this $100 million is sourced from Bitget’s strategic reserves. This is a separate pool from the company’s core budget, and it is readily accessible for investment purposes.
Chen emphasized the company’s inclination towards self-sustained investment. He underscored the intention to support Bitget’s future growth without heavily depending on external funding at this stage. Furthermore, the EmpowerX Fund follows Bitget’s previous launch of the $100 million Web3 Fund in April.
This initiative had a significant focus on Asian-based projects. It also established partnerships with leading global venture capitalists, such as Foresight Ventures, SevenX Ventures, and Gitcoin Fund.
In addition, Bitget showcased its dedication to diversification. In March, the company invested $30 million in the decentralized BitKeep multi-chain wallet.
Following this, Bitget took on a controlling stake, leading to the rebranding of the wallet as Bitget Wallet. This move was in line with the company’s broader strategy to extend its focus beyond derivatives.
Subsequently, Continuing with their expansion endeavors, Bitget successfully secured a $10 million strategic investment from the crypto venture capital firm Dragonfly Capital in April.
This investment aimed to bolster the platform’s presence in spot trading and yield-generating products, in addition to advancing its launchpad initiative.
Bitget’s Strategic Initiatives: Cryptocurrency Loans, Mandatory KYC, and Enhanced Security Measures
In another noteworthy move, Bitget introduced a cryptocurrency loans product in July. This occurred during the tumultuous landscape of 2022, marked by the bankruptcy of prominent firms like Celsius, BlockFi, and Voyager Digital.
Furthermore, Bitget made headlines again by announcing mandatory know-your-customer (KYC) verification for new users starting on September 1st, with existing users required to undergo the same process from October 1st onwards to facilitate deposits and trading activities.
This proactive measure is a response to the ever-increasing regulatory demands within the global cryptocurrency sector, as Bitget seeks to foster a secure trading environment. Gracy Chen, in a recent interview with The Block, shed light on the expected trajectory of stricter crypto KYC measures.
Users will likely be subjected to recurring verifications throughout the year, with the inclusion of more biometric data to enhance security protocols.
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