Bitget’s Australian Promotions Draw Attention After Regulatory Notice
- ASIC has warned that Bitget is promoting unlicensed, high-leverage crypto derivatives that exceed Australia’s regulatory limits.
- The exchange has continued hosting events nationwide, including at universities, despite regulatory concerns.
- New legislation aims to tighten oversight by introducing mandatory licensing and stronger investor protections.
Bitget’s promotional activity in Australia is facing scrutiny after the Australian Securities and Investments Commission (ASIC) warned about the platform’s unlicensed crypto derivatives offerings.
The regulator highlighted that Bitget has been marketing futures products with leverage as high as 125:1, far exceeding Australia’s 2:1 cap designed to limit retail investor risk. ASIC stated that Bitget does not hold an Australian Financial Services licence and is therefore not authorised to promote such financial products locally.
Despite the warning issued in July, the exchange has continued hosting in-person events across Australia to promote its services. Some of these events have taken place on university campuses, raising concerns about outreach to younger and potentially less experienced investors.
Industry participants have expressed unease about this activity, pointing to a gap between regulatory enforcement and ongoing marketing efforts.
Related: Bitget Integrates Chainlink Proof of Reserve for Real-Time BGBTC Transparency
Calls for Stronger Enforcement Intensify
Financial professionals have cautioned that high-leverage products can expose users to rapid and substantial losses, particularly if they lack experience with complex trading instruments.
The structure of these products allows users to control positions significantly larger than their initial investment, amplifying both gains and losses. Concerns have also been raised about the absence of consumer protections for investors using unlicensed platforms, including limited access to dispute resolution mechanisms.
The issue comes as Australia moves to tighten oversight of the crypto sector through the Corporations Amendment (Digital Assets Framework) Bill 2025. The legislation introduces mandatory licensing requirements for digital asset platforms and custody providers, bringing them under the financial services regulatory framework.
These reforms are intended to strengthen governance, improve transparency, and enhance investor protection across the industry.
Related: Australian Senate Panel Backs Bill to Bring Crypto Platforms Under Financial Services Rules
The post Bitget’s Australian Promotions Draw Attention After Regulatory Notice appeared first on Crypto News Australia.
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