Bitget Fights Against Exit Scams, Compensates Projects Targeted by Listing Scams

Various types of scams continue to hurt the reputation of the crypto industry. Among them, exit scams are some of the most damaging.

Crypto scams continue to plague the industry, with various types of scams targeting investors and projects. Among these scams, exit scams are some of the most damaging, with developers selling tokens only to dump liquidity and abandon the project. These scams have also affected exchanges that list these tokens, leading some exchanges to tighten their review processes before listing any token on their platforms.

One such exchange is Bitget, which recently announced stricter token listing requirements to combat exit scams. According to an announcement on Thursday, October 10, Bitget will now subject projects seeking to be listed on the exchange to rigorous legal and technical reviews.

These reviews will assess the code quality, security measures, and regulatory compliance of the projects. The exchange aims to strengthen protection against exit scams through this policy change.

In another development, Bitget faced challenges with scams targeting projects looking to list on its exchange. Bitget CEO Gracy Chen highlighted two cases of scammers using Bitget's social media to advertise fake listings.

“Project A (K***u) received a direct message from Bitget's official X account that included a fraudulent listing manager's Telegram handle,” Chen revealed. The other project received an email masquerading as Bitget's official email.

The teams believed the communication to be authentic and transferred funds. According to Chen, losses amounted to six figures. As the scammers used Bitget's hacked social media, the exchange agreed to compensate both projects.

These developments come amid increasing concerns about user protection in crypto, with various types of scams targeting investors and projects. Exchanges play a key role in protecting their users from potentially fraudulent projects, and these recent efforts by Bitget aim to strengthen those protections.