Bitget Says Protection Fund Absorbed Impact of Incident Linked to $388 Million in User Losses

Bitget CEO Gracy Chen said the cryptocurrency exchange’s protection fund helped absorb the financial impact of an incident that resulted in approximately $388 million in user losses.

Protection Fund Established in 2022

According to Chen, Bitget created the protection fund in 2022 to help safeguard users against losses arising from unexpected incidents. She said the fund absorbed the financial impact associated with the latest event.

Fund Reportedly Holds $309 Million

The protection fund has reached approximately $309 million, according to information accompanying Chen’s remarks. Chen added that Bitget was “gradually back to usual” following the incident.

The comments come as exchanges continue to emphasize reserve management and user-protection mechanisms as key components of cryptocurrency platform operations.