November 16, 2023
By Sharan Kaur Phillora
In a significant development for the cryptocurrency sector, BC Technology Group, the operator of OSL, a major publicly listed cryptocurrency exchange in Hong Kong, has secured an investment of approximately 710 million Hong Kong dollars ($90.1 million). This investment was made by BGX, an influential player in the industry, according to a joint announcement made on November 14.
Here’s what we know:
The partnership between BC Technology and BGX involves BGX subscribing to new shares in BC Technology. This move is contingent upon the approval of BC Technology’s shareholders and forms part of a strategic investment plan aimed at enhancing OSL’s position in the market.
OSL, managed by BC Technology, has been a front-runner in the crypto exchange landscape, particularly noted for being among the first to obtain a Hong Kong crypto license in 2023. This latest investment by BGX is a clear indication of OSL’s dedication to elevating standards in digital asset security, regulatory compliance, and technological innovation in the cryptocurrency domain.
The announcement of this partnership comes just a day after BC Technology temporarily suspended the trading of OSL shares on the Stock Exchange of Hong Kong. This move fuelled industry speculation, with unconfirmed reports suggesting a possible acquisition of or investment in OSL by Bitget, another exchange, which had recently announced its exit from the Hong Kong market.
Prior to this investment, BC Technology was reportedly contemplating selling the OSL exchange for a sum of 1 billion Hong Kong dollars ($128 million). This new partnership with BGX, a group described as being dedicated to providing an innovative platform for both institutional and retail investors in the crypto space, marks a significant shift in OSL’s strategy and financial trajectory.
Despite the high-profile nature of this investment, details remain sparse.
OSL has refrained from commenting further on the strategic investment, and BGX has not immediately responded to inquiries for additional information. Historical records from the Wayback Machine indicate that BGX, cited as a “global digital currency exchange invested by SoftBank Investment” as early as March 2021, has been making strategic moves in the cryptocurrency sector for some time, though its exact founding date remains unclear.
This investment in OSL by BGX is a clear signal of the growing interest and confidence in the cryptocurrency market, particularly in the Asia-Pacific region. It represents a significant milestone in the journey of OSL and underscores the dynamic nature of the cryptocurrency exchange landscape.
About the author
Sharan Kaur Phillora’s thirst for knowledge has led her to study many different subjects, including NFTs and Blockchain technology – two emerging technologies that will change how we interact with each other in the future. When she isn’t exploring a new idea or concept, she enjoys reading literary masterpieces.