Key Insights
- ASIC has warned against Bitget for offering unlicensed crypto futures with leverage up to 125:1, far exceeding legal limits.
- Bitget lacks an AFS licence, leaving users without critical investor protections.
- Regulators in multiple countries—including Spain, Germany, France, and Japan—have also taken action against Bitget and its affiliated entities.
SYDNEY (MarketsXplora) — The Australian Securities and Investments Commission (ASIC) has issued a sharp public warning against Bitget, a global cryptocurrency exchange operated by BTG Technology Holdings Limited, for offering high-risk cryptocurrency futures products to Australian investors without holding a valid Australian Financial Services (AFS) licence.
In its statement released Sunday, the regulator accused Bitget of promoting unlicensed derivative products that expose retail investors to significant financial risk, with leverage ratios as high as 125:1—well beyond Australia’s regulatory limit of 2:1 for licensed platforms.
“Bitget does not hold an Australian Financial Services licence,” ASIC said. “It is not permitted to promote or encourage Australian investors to invest in its financial products.”
What Makes Bitget’s Crypto Futures So Dangerous, According to ASIC?
Bitget’s cryptocurrency futures products—advertised through its website and mobile apps available on Apple and Google Play stores—allow investors to speculate on the future price movements of digital assets. These products are often heavily leveraged, magnifying potential returns but also amplifying losses.
“For every dollar invested at this leverage rate, there is potential for 125 times magnified gains or losses for investors,” ASIC warned. The commission emphasized that such high-risk exposure could lead to substantial financial damage, especially for retail investors.
Under Australian law, financial service providers must hold an AFS licence to offer such derivative products. Without this licence, investors forfeit access to essential safeguards, including client money protections and internal dispute resolution mechanisms.
“If you invest in something that is unlicensed and unregulated in Australia, it’s harder to get help if things go wrong,” ASIC said.
While Bitget remains registered with AUSTRAC—the Australian Transaction Reports and Analysis Centre—for basic digital currency exchange services, this registration does not cover financial services or derivative offerings.
Bridget Nichols, Chief Commercial Officer at Monochrome, a licensed Australian crypto asset manager, acknowledged ASIC’s investor-first approach but also highlighted the challenges legitimate businesses face.
“Investor protection considerations are paramount so ASIC has the correct focus,” she said, adding, “Inhibiting innovation is an unfortunate bi-product, as ASIC is unable to keep up with technical advancements in the digital assets industry.”
Monochrome itself took three years to bring a compliant Bitcoin ETF to market. Nichols noted that “wrapping traditional finance around digital assets is the only currently available solution for regulatory clarity in Australia.”
Bitget Facing Warnings from Regulators Worldwide
ASIC’s move adds Australia to a growing list of countries raising red flags over Bitget’s operations. Since 2022, financial regulators across Europe, Asia, and North America have taken action or issued public warnings against Bitget and its related entities.
- Spain (April 2022): The Comisión Nacional del Mercado de Valores declared Bitget unauthorized to provide investment services under Spanish law.
- Austria (January 2024): The Financial Market Authority warned against closing transactions with Bitget or BG Limited, stating they are not licensed for banking operations.
- Germany (February 2024): BaFin advised investors to avoid Bitget offers and clarified that it does not supervise the entity.
- Canada (April 2024): Alberta’s Securities Commission said Bitget Limited is not registered to trade or advise on securities or derivatives.
- France (April 2024): The AMF blacklisted Bitget’s platform and confirmed it lacks authorization to offer services in the country.
- Cyprus (June 2024): The Cyprus Securities and Exchange Commission listed Bitget among several unregulated firms and urged caution.
- Malaysia (2024): The Securities Commission flagged Bitget as operating a digital asset exchange without registration.
- Japan (Late 2024 & June 2025): The Financial Services Agency first listed Bitget Limited as unregistered and later included BTG Technology Holdings Limited for conducting OTC derivative transactions without a license.
ASIC’s warning follows its 2023 crackdown on Binance Australia Derivatives, where the regulator revoked its license for misclassifying retail investors—stripping them of legal protections such as dispute resolution rights and mandated disclosures.
With multiple jurisdictions sounding the alarm, Bitget faces intensifying scrutiny that may force operational changes or even withdrawal from key markets.
As the digital asset industry continues to expand, regulators worldwide are racing to close compliance gaps. In Australia, the lack of binding legislative clarity remains a hurdle. “The Australian government has been quite slow to clarify their expectations,” Nichols said. “To this day, they still have not done so in binding legislative form.”