Bitget's New "Going Beyond Derivatives" Strategy Leads to $30M Investment in BitKeep Crypto Wallet

Cryptocurrency exchange Bitget has acquired a majority stake in BitKeep, a cryptocurrency wallet provider, with an additional investment of $30 million at a valuation of $300 million dollars.

What happened: According to a statement from Bitget, the acquisition is an important step that will allow the company to expand its territory of activity to the wallet sector, by providing native storage and asset management services, The Blockage reported.

Majority ownership is well over 51%, but the specific ownership percentage and amount Bitget has previously invested in BitKeep remains undisclosed.

Bitget CEO Gracy Chen noted that the company invested in BitKeep in 2021 and 2022 without making the information public.

The acquisition of a majority stake in BitKeep came amid a recent cryptocurrency and banking collapse, leading to increased demand for non-custodial wallets.

Chen thought the demand for non-custodial wallets would continue to grow, and that's why Bitget struck a deal with BitKeep.

Chen said the acquisition of BitKeep is also part of the company's new "go beyond derivatives" strategy to offer DeFi and other services.

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Why it matters: Bitget, founded in 2018 as a futures trading platform, currently serves 8 million users, primarily from Asia, Latin America and from Europe.

On the other hand, BitKeep claims to be the largest Web3 wallet in Asia with around 9.5 million users, and its monthly active users have grown to 1.6 million, while its total trading volume to date has crossed $4 billion, according to Moka Han, COO of BitKeep.

BitKeep's rapid growth over the past few months is the main reason for a significant increase in its valuation, according to Han. The wallet provider was valued at $100 million in May last year when it raised $15 million in Series A funding.

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