Bitget Faces Regulatory Heat in Australia Over Unlicensed Crypto Futures

Australia's securities regulator, ASIC, has issued a warning against crypto exchange Bitget for offering unlicensed derivative products with excessive leverage. The platform was found promoting crypto futures trading with 125:1 leverage, significantly higher than the country's 2:1 limit for crypto instruments. This development highlights the ongoing regulatory challenges faced by crypto exchanges in compliant markets.

ASIC Warns Australians Against Bitget’s Unlicensed Crypto Futures Offerings

Australia's securities regulator has issued a stark warning against crypto exchange Bitget, accusing the platform of offering unlicensed derivative products with dangerously high leverage. The Australian Securities and Investments Commission (ASIC) revealed Bitget was promoting crypto futures trading with 125:1 leverage—far exceeding the country's 2:1 limit for crypto instruments.

The exchange allegedly lured Australian investors through mobile apps and websites, advertising speculative products that could magnify gains or losses by 125 times. "These high-risk derivatives can devastate retail investors with a single market move," ASIC emphasized, noting the disproportionate risk posed by such extreme leverage ratios.

While Bitget maintains authorization for basic crypto exchange services in Australia, the regulator clarified the platform lacks licensing for financial services or derivatives trading. The crackdown follows Bitget's recent efforts to expand its regulatory approvals elsewhere, creating a stark contrast between its global aspirations and compliance challenges.

Ethereum Braces for Potential August Surge Amid ETF Inflows and Leverage Dynamics

Ethereum stands at a critical juncture as July concludes, with converging catalysts suggesting a volatile August. Over $5.78 billion in Leveraged long positions between $3,358 and $3,875 creates a precarious zone—either a launchpad for upward momentum or a liquidation trap. The difference this time? Institutional conviction.

ETH ETFs recorded $5.12 billion in net inflows during July 2025, marking the highest monthly institutional participation in a year. This capital influx provides stability against retail-driven leverage risks. Market structure now hinges on whether ETF demand can offset derivative market fragility.

Exchange reserves continue thinning while ETH/BTC strength grows, compounding bullish technicals. The setup mirrors past breakout conditions but with unprecedented institutional backing—a factor that may redefine ETH's volatility profile in coming weeks.