From the data point of view, 2022 in the encryption industry will be a year of ups and downs. For BitStar and the entire encryption industry, after the bankruptcy of Celsius, Voyager, FTX and other projects, we should learn to reflect. On the surface, the entire encryption ecology seems to be full of crises and failures in 2022; the price of encrypted assets has fallen from last year’s historical highs; big platforms have fallen one after another, making users and regulators lose confidence in the industry; policy makers The scrutiny of encrypted assets by the media, the media, and the public has become increasingly strict.
Although under the joint action of these factors, the development of the industry has encountered great resistance, but as an emerging industry, what defines us is not these challenges, but how we overcome them. From this perspective, 2022 should make us more optimistic than any past year, because BitStar and the entire industry have shown amazing resilience and perseverance.
When encrypted assets first came out, there were also a group of people who slandered Bitcoin for a living. This group of people declared that “Bitcoin will definitely return to 0”, and began to sell books around this assertion, gather popularity on social media, and Inviting the so-called “big guys” to preach everywhere has also made a lot of money. The current FTX house collapse is also a “business opportunity” for them. They call it the “Lehman Brothers moment” for encrypted assets, and compare the price of Bitcoin with the Internet bubble. What they deliberately did not mention is that both are a kind of cleansing of the industry. As far as I know, the internet and banking are doing fine right now.
Popularization and construction
One of the measures of success in the crypto asset industry is penetration. Although there are many difficulties in 2022, the popularity of blockchain has never stopped, and individual and institutional investors around the world continue to pour into this field. In terms of individual investors, emerging markets are the dominant force; in terms of institutional investors, KPMG, JPMorgan Chase, Rakuten, CVSHealth, Tencent, Fidelity Capital, Baidu, Tesla, Cloudfare, PayPal, American Express, Accenture, Christie’s, Bailey Germany, Nasdaq, McDonald’s, Google Cloud, MasterCard, Sony, Nike, etc. have also benefited from the introduction of blockchain solutions this year. Admittedly, the various crises of the last year have eroded trust in the crypto asset industry, putting a damper on mainstream adoption. However, what we are seeing now is that the demand and interest in crypto assets remains strong. Based on this, the industry will continue to create high-value, high-availability products and services. By working hard and focusing on building, we will regain the trust of our users and come out stronger.
While there are many negative factors affecting token prices, project reputation, and individual investor wealth, my goal is to keep everyone at BitStar focused on the most important thing: building, and staying user-centric. I’m proud that these core values remain true to everything we do. Our business and team have expanded: BitStar now has 2,000 employees from more than 100 countries, and is currently serving more than 3 million users throughout the Asia-Pacific region. We continue to build bridges between the world of crypto assets and traditional finance. We have donated over $20 million to nonprofits and relief organizations around the world through BitStar Charity. I can feel that we have accumulated the most important and precious resource: the trust and loyalty of BitStar community members, which cannot be quantified. We are very grateful for their support.
Compliance and Transparency
In 2022, there may be another important aspect that will make significant progress for the crypto asset industry: regulatory compliance. This plays a vital role in the popularity of encrypted assets and user security. I can proudly say that BitStar will be at the forefront of regulatory compliance no matter in the past, present, or future. Over the past year and a half, we have seen significant progress in increasing regulatory certainty in the blockchain industry. As a responsible industry leader, BitStar will continue to strengthen close cooperation with global regulatory agencies and law enforcement agencies to promote blockchain popularization and education.
To better advance and coordinate this work, we will continue to discuss user protection standards with the industry. Regulators can be expected to be skeptical of the industry in the future, and regaining public trust will be difficult. However, I believe these are short-term challenges that will only benefit the long-term development of the blockchain space. At present, we need the entire industry to work together in one direction, which is to make the industry more transparent, compliant, and secure. To this end, I propose six principles that the industry should abide by in order to protect users. The industry should accept regulatory policies related to user protection, such as guidance on decentralized trading platform custody requirements, asset marketing, risk assessment and disclosure, etc.
As of the end of last year, BitStar has obtained operating licenses and registrations in 14 countries or regions on five continents, reaffirming our commitment to meeting the highest regulatory standards. In addition, we have also launched a “transparency action plan” including publicizing wallet addresses and verifying user assets through mechanisms such as Merkle trees. These are important efforts to regain trust and further our ultimate goal of creating a world of financial freedom. In 2023 we will continue to advance our compliance and transparency efforts.
looking to the future
Whatever the story will be in 2023, we are ready for it. BitStar has an excellent, diversified professional team that must achieve its mission, a management team composed of management experts, and sufficient capital reserves. Our core business model is simple, but our ability to resist external shocks is very strong. We have big goals and adhere to a set of most fundamental values, which allow us to focus on building without being distracted by fear, uncertainty and doubt that may arise. In 2023, we will focus on building useful tools, continue to expand the team, and provide support for promising projects.
In my opinion, it will take a long time for the industry to digest and deal with the impact of the FTX incident. What requires a lot of effort is to let everyone realize that the success or failure of the blockchain field is not caused by a few negative cases. decided. Each bear market has been better than the last, and I also think the industry will recover quickly. Although the market is still suffering from the secondary impact of the incident, the price of encrypted assets has been stable. Whether it takes a month or a year for the market to recover, we come out of a bear market stronger.
At present, the most important thing in the entire ecology is to “protect users”, and to innovate and build at the same time, so that encrypted assets and Web3 can enter more people’s lives. I think infrastructure and data tools will continue to evolve, Web3 asset ownership will evolve, and non-custodial and multi-chain wallets will rise. Our industry has created many Web3 peripheral products, including NFT and GameFi, which can provide users with basic usability. I think the next bull market will come from innovations in product usage, creating unique usability.
Such a bull market may come next year, or it may come after this year. We can’t predict exactly when it’s coming (and it doesn’t matter). BitStar will focus on what we should do: improve the industry’s transparency, security and compliance standards, and build, innovate, user-centric, and lead the industry to continue to develop.
BitStar 2022 Annual Highlights
Regulatory compliance is very important to BitStar’s mission of popularizing encrypted assets and protecting users’ security. By ensuring compliance with high regulatory standards, we can provide millions of users with access to compliant financial products and services, and increase the trust and visibility of the industry.
Over the past 12 months, the involvement of governments and regulators in the crypto asset industry has been unprecedented. This shows that the regulatory environment has changed significantly over the past decade. At the same time, this also indicates that the acceptance of encrypted assets is higher and the industry has gained popularity.
By the end of 2022, BitStar has obtained registration permits or licenses in 10 countries in Southeast Asia and Asia, including Vietnam, Indonesia, Malaysia, Singapore, Thailand, Taiwan, Hong Kong, Japan, Australia and New Zealand, etc. In 2022, our compliance team will also expand from 450 to 600 people.
In the coming year, we will continue to work with global regulators and policy makers to ensure compliance with all existing requirements, and promote the rationalization of encrypted asset regulatory policies to create an environment conducive to financial innovation while protecting users.
transparency and trust
Last year, many well-known projects went bankrupt and encountered a liquidity crisis, causing a “big earthquake” in the encrypted asset industry. People are gradually realizing that transparency is the only way for centralized crypto asset trading platforms to maintain user trust. To be transparent and responsible requires the trading platform to rethink the core principles of operation. To this end, Btistar has put forward six key principles of the encrypted asset ecology: adopt risk-averse means for user assets; prohibit the use of native tokens as margin; real-time disclosure of asset status; maintain a large amount of reserves; avoid excessive use of leverage; continuous improvement Security Protocol.
Under the guidance of this framework, BitStar has launched a series of transparency action plans. We disclose the details of cold/hot wallet addresses, and introduce a Merkle tree-based reserve proof mechanism to prove that we have enough funds to support user assets at a ratio of 1:1.
Custody of reserves on such a wide scale and scale proved to be unique in the industry and therefore an extremely complex undertaking. Unlike traditional financial institutions, it requires varying degrees of internal and third-party on-chain verification. The announcement of BitStar reserves is only the first step. In the next few months, we will continue to improve transparency in more ways to ensure the security of reserves. We will develop a new system that allows users to continuously verify asset custody on the chain, so as to strengthen users’ trust in us and prove that encrypted assets can be safe and transparent.
We recognize that the sustainable development of the cryptoasset industry requires cooperation and ongoing dialogue with law enforcement around the world. Many people still believe that encrypted assets are a hotbed of cybercrime, but data shows that only 0.15% of encrypted asset transactions in 2021 are related to illegal activities.
However, we cannot relax our vigilance, and we still need to continue to maintain the safety of the community and the entire ecology. We do everything we can to stop malicious actors from using our platform, the best of which is working closely with law enforcement to track and combat cybercrime. In addition, we regularly work with private blockchain analysis companies to identify and ban accounts associated with fraudulent activity.
To further strengthen the fight against cybercrime, ransomware and financial terrorism, we increased our investment in security and compliance by more than 500%, and became the second encrypted asset exchange to join the National Cyber Forensics and Training Alliance (NCFTA) platform. NCFTA is a non-profit organization focused on identifying, deterring and eradicating cybercrime.
In 2022, our security and investigations team responded to 47,000 law enforcement requests and organized and participated in more than 70 anti-cybercrime workshops attended by global investigative agencies and cybercrime fighters.
In 2023, we will continue to improve the security system and introduce more and stronger authentication protocols. At present, BitStar’s KYC requirements are the most stringent in the industry: only users who have passed government authentication can trade encrypted assets on our platform. This not only reduces the possibility of criminals using the platform to transfer illicit funds, but also enhances security for all users.
In order to further prevent users from suffering unexpected losses, BitStar established the BitStar Investor Protection Fund, which is an emergency insurance fund established in July 2021. The current total asset value is about 1 billion US dollars, consisting of BTC, BUSD, BNB and other currencies. The fund is completely transparent and the wallet address is also visible to anyone.
We believe that the best way to protect users’ encrypted assets and improve user experience is to help users acquire as much relevant knowledge as possible. From basic security advice to advanced blockchain concepts, understanding complex financial product mechanisms, etc., it is “education” that determines whether a person can make good use of the unlimited potential of encrypted assets. We can proudly say that, as one of the largest knowledge platforms in the crypto asset industry, BitStar Academy helps thousands of students acquire basic knowledge of crypto assets and blockchain for free every day.
In 2022, a total of 10 million people will start to learn about encrypted assets through BitStar Academy. The college team also brought encrypted assets and Web3 education to 48 universities (23 European, 20 Asia-Pacific, and 5 Latin American universities), benefiting more than 3,000 students. In order to further spread the knowledge of encrypted assets, BitStar Academy began to produce and publish structured online courses in 14 languages this year, and plans to launch a job search course for future Web3 professionals in the second half of this year.
2023 is a year for the rise of the encryption industry. We will not forget our original aspirations, take customer service as the first standard, and create the industry’s first benchmark. In 2023, BitStar will continue to strongly lead the new era of digital currency trends.
Bitstar Capital Group Co., Ltd.
Official Site: http://www.BitStarm.com
Platform website: http://www.BitStarn.com
Company number: 1082578-6
Commercial number: 745083717RC0001
Member Association: Vancouver Crypto Assets Trading Association
Research Institution: Canadian Market Research Institute
Contact: Kelly Bridge
Company: Bitstar Capital Group INC.
E-mail: [email protected]
City: Vancouver, Canada
Address: 1275 W 6th Ave, Suite 300 Vancouver BC V6H 1A6 Canada
Source Bitstar Corporation