Bitget exec says KYC is useful to filter out illegitimate users

Cryptocurrency exchange Bitget has seen significant growth despite the challenges posed by the bear market. In 2023, the exchange announced the creation of two $100 million funds, one dedicated to crypto projects in Asia and the other to maximize the company’s long-term influence in the crypto space.

Cointelegraph’s Zhiyuan Sun spoke with Bitget Managing Director Gracy Chen at the Bitget EmpowerX Summit in Singapore. The two talked about Bitget’s growth amid the bear market, paused expansion in Hong Kong and the U.S., and why they believe implementing know-your-customer (KYC) protocols is important for the exchange.

Panel discussion at Bitget event in Singapore. Source: Cointelegraph

According to Chen, the company has grown tenfold in just two years. “Our company has about 150 employees, up from 1,500 two years ago,” Chen said. The executive emphasized that this is the result of their efforts over the past few years and is results-driven. Chen explained:

“We think of it like running a marathon. So what we’ve been doing, if you look at our team, it’s a very results-oriented team.”

The Bitget executive also cited their many efforts, from branding and product launches to the company’s partnership with soccer superstar Lionel Messi, as some of the reasons for its growth over the past few years. “As far as the secret is concerned, I think it’s because of these things we’re doing, we’re growing,” she added. At the same time, the growth has put them in a “financially good position” to carry out more activities, Chen said.

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When asked about the lack of presence of these exchanges in the two major markets of the United States and Hong Kong, Chen pointed out that regulatory uncertainty in the United States has hindered Bitget’s entry. she says:

“We want to wait and see how it develops before we decide whether we want to serve U.S. customers. It’s something that’s always evolving, but I don’t think we’ll be servicing the U.S. market anytime soon.”

Speaking of Hong Kong, Mr. Chen said that they have negotiated with the Hong Kong government and are currently applying for a SAR license.

Chen also talked about why the exchange implemented mandatory KYC requirements for all users on September 1. The executive said some of their users had complained about the new requirements. However, the executive believes that implementing KYC is a good way to filter out “illegal” users. she says:

“I’m pretty sure if the user is a financially sound user, such as if they are not engaged in illegal activities such as money laundering. They should be very comfortable with the KYC process.”

Beyond this, the executive believes that mandatory KYC will become a trend among large cryptocurrency exchanges in the near future.

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