The United States continues to attract companies in the digital currencies space as they seek to take their share of the world’s largest economy. The latest is Bitget, a digital currencies derivatives platform that has been servicing the Asian market. The firm has applied for a license as it eyes expansion into the U.S.
Bitget applied for a money service business license with the U.S. Financial Crimes Enforcement Network (FinCEN), a bureau of the Treasury Department that analyzes financial transactions to combat crime. The registration is the first step in the firm’s effort to venture into the U.S., the spokesperson stated. However, it will need to obtain licenses from state-level watchdogs before it can start offering its services.
Bitget is based in Singapore and targets institutional investors, predominantly in Asia. It has been offering spot trading services since its launch in 2018, before diving into digital currency derivatives last summer. The move paid off, and according to the company, it now facilitates over $1 billion daily in its derivatives business.
The move into the U.S. is the latest in its ambitious expansion plans. The European Union is next, with Bitget planning on applying for licensing in a number of countries in the region. Before this, it has been serving a number of Asian countries, including South Korea and Japan, with offices in each country. Its biggest market, however, has been China, which makes up close to two-thirds of its 800,000 clients.
The spokesperson further revealed that Bitget recently began expanding its reach in its home base of Singapore. The Monetary Authority of Singapore recently granted it a license exemption to operate as a digital currency service provider, eliminating the need for further regulatory approval. This exemption runs until the end of August. During this period, it can offer all its services in the Asian financial center as it works on becoming a fully regulated entity.
Bitget becomes the latest firm to expand into the U.S., even as the COVID-19 pandemic wreaks havoc on the country. Just recently, European fintech unicorn Revolut announced that it has entered the U.S. market, offering all its basic features. Revolut has however withheld some of its premium services such as digital currencies, which it intends on rolling out in due time.
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