Amidst the crypto bear market roar that has scared down everyone, Crypto exchange Bitget launched a $200 Million BTC-USDT protection fund to push forwards with the investor centric trend. The reserve is launched to safeguard users’ assets.
With this move, Bitget joins the growing list of crypto companies, such as Binance, that have taken an investor-focussed approach to earn investors’ trust through protection funds.
The protection fund has 6,000 Bitcoin (BTC) and 80 million Tether (USDT) and amounts to a valuation of $200 million at the time of writing. Bitget has vowed to secure the value of the fund for the next three years as the crypto market seems to be just crawling instead of a ‘strong bounceback’!
A user may ask for aid from the Bitget Protection Fund by contacting the Bitget Protection Fund team within 30 days of the incident.
Unlike Bitget’s self-funded reserve, Binance built its user-protection insurance fund called ‘Secure Asset Fund for Users’ (SAFU) by using 10% of its trading fee.
Gracy Chen, the Managing Director of Bitget, explained that the fund will help us alleviate investors’ issues and attract potential users. Chen added, “As we continue to endure the crypto winter, it is crucial that our users can rest assured that their funds are kept safe.”
The combination of stablecoin and Bitcoin in the reserve is used to be prepared for sudden and unpredicted crypto volatility. Bitget has introduced strict ‘Know Your Customer’ (KYC) and Anti-Money Laundering (AML) laws to protect investors from miscreants.
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