What is BitTrade?
In a significant development in the cryptocurrency industry, Mr. Eric Cheng, a Singaporean multi-millionaire and entrepreneur, has successfully acquired BitTrade, a Japanese crypto exchange. This acquisition includes a 100% stake in BitTrade Co., Ltd, making Cheng the first foreign investor to hold such a stake in an FSA-licensed trading platform.
Licensing and Regulatory Landscape
BitTrade is among the select 16 Japanese crypto exchanges granted a license by Japan's financial watchdog, the Financial Services Agency (FSA). This acquisition not only provides Cheng control over a licensed platform but also positions him as a pioneer in the foreign investment landscape within the Japanese crypto market. The move is aligned with Cheng's vision of capitalizing on the exponential growth of the cryptocurrency industry by operating within a well-regulated and licensed framework.
Expansion Strategy
Alongside acquiring BitTrade, Cheng is also taking over FX Trade Financial Co., Ltd, an affiliate company of BitTrade and a prominent forex trading platform in Japan. This strategic move allows Cheng to diversify his portfolio and explore synergies between cryptocurrency and forex trading. The entrepreneur aims to aggressively scale and expand trading services on both platforms, implement strengthened cybersecurity measures, and develop more user-friendly interfaces to cater to international clients.
Business Continuity
Despite the change in ownership, BitTrade reassures its user base that there will be no alteration to the basic business framework. The services currently provided by BitTrade will continue seamlessly under Cheng's ownership. This commitment to continuity aims to maintain stability and trust among the platform's existing users.
Regulatory Climate in Japan
The acquisition of BitTrade comes in the wake of notable cryptocurrency scandals in Japan, including the unprecedented US$532M Coincheck hack and the collapse of Mt.Gox. These incidents have led to an increasingly transparent regulatory climate for cryptocurrencies in Japan. The FSA's strict guidelines for licensed platforms, coupled with additional requirements for crypto exchanges, emphasize the commitment to ensuring the security and integrity of the cryptocurrency market in the country.
Cheng's Global Vision
Expressing his vision for the future, Cheng states, "The cryptocurrency industry is growing exponentially. Against this backdrop, the key to capturing the rising demand is having a well-regulated and licensed outfit. With this Japan’s FSA-licensed platform, I will work closely with the regulators to scale this platform globally." This global perspective aligns with the broader trend of cryptocurrency platforms seeking to expand their reach beyond domestic borders.
In conclusion, Eric Cheng's acquisition of BitTrade signifies a landmark development in the Japanese cryptocurrency market, emphasizing the importance of regulatory compliance and global expansion in the industry's continued growth.
What are the trading fees on BitTrade?
BitTrade offers spot margin trading and perpetual futures margin trading
Does BitTrade offer leverage trading?
BitTrade does not currently offer margin trading or leverage options.
Is BitTrade safe?
While many major CEXes boast stronger firewalls than most governments, history has witnessed numerous instances where exchanges have fallen victim to hacks, resulting in the loss of customer funds. DEXes are generally safer option as you have control over your funds at all times as long as blockchain is up and running. Its all based off contract code so you can clearly look whats behind the scenes, and how their contracts work.
Does have customer support?
Almost all exchanges provide customer support, but the quality, speed and continuity of this service varies from time to time depending on the budget conditions of the companies. We recommend that you experience the support service provided by the stock exchange by asking a question to the support section on its website.
