Interview: Tong, PANews

Editor: Yuliya, PANews

On the occasion of its seventh anniversary, Bitget CEO Gracy Chen sat down for an exclusive interview, delving into the latest developments and future prospects of the crypto industry. The conversation covered Bitget's core strategy—the "UEX" (Universal Exchange) concept, which aims to break down the barriers between traditional finance and centralized and decentralized trading. Gracy shared how Bitget is responding to shifting market focus, seizing new opportunities like RWA and AI, and elaborated on the future empowerment path of its core ecosystem asset, BGB. She also offered unique insights on topics such as the current challenges facing crypto-native projects, how traditional industry professionals can successfully transition to Web3, and the unique advantages and opportunities for women in the crypto industry.

UEX: Breaking boundaries and defining the future of exchanges

PANews: Hello Gracy, thank you very much for accepting this interview and congratulations on Bitget's seventh anniversary! For its seventh anniversary, Bitget launched a new concept, "UEX," positioning itself as a "panoramic exchange." Who conceived this concept? UEX attempts to break the "impossible triangle" between CEX, DEX, and traditional finance. Can you elaborate on this concept? Do you think UEX represents the future of exchanges?

Gracy: This concept is the result of our team's collective wisdom. UEX stands for "Universal Exchange." In the past, the industry categorized exchanges into two distinct categories: CEX and DEX. Over the past few years, Bitget has made in-depth investments in both areas. In terms of trading volume, Bitget Exchange is firmly in the top three globally, and in terms of user ecosystem, it's also among the top two globally. In the decentralized wallet space, our Bitget Wallet and OKX Wallet are generally considered the two giants of the exchange wallet market.

In the process of operating these two fields simultaneously, we found that their essence is trading. Although the user needs they meet are slightly different in terms of profiles and scenarios, there are often close connections. For example, we also provide products such as Bitget on-chain products (Onchain) within centralized exchanges.

The introduction of the UEX concept is a more significant step forward. We believe the future will not only see the convergence of CEX and DEX, but also the convergence of traditional assets on-chain (RWA). We hope to launch diverse products such as tokenized stocks, tokenized commodities, and even tokenized foreign exchange. Future trading platforms will no longer be a world of binary dichotomy, but will instead achieve "full asset coverage"—any asset, once tokenized and on-chain, can be traded. We don't believe the industry's development should be limited to altcoins or crypto itself. It is breaking down the boundaries between traditional finance and crypto, as well as between CEX and DEX. UEX is a concept that encompasses all of this.

In addition to the breadth of asset coverage, UEX's philosophy also encompasses product upgrades, particularly AI-powered features. For example, our GetAgent product is arguably the most powerful crypto AI tool in the industry. A few days ago, I asked my GetAgent, "Based on my portfolio and trading habits, guess what my Myers-Briggs-Title (MBTI) personality type is?" It replied that I'm an INFJ, very similar to Warren Buffett—a conservative investor who favors fundamental analysis and a long-term hold (HODL) approach.

PANews: Another exchange also proposed the CeDeFi concept today, which I think is similar to your UEX. Do you think UEX will be the ultimate form of future exchanges?

Gracy: Yes. In my seventh-anniversary open letter, I mentioned that UEX isn't just the future of cryptocurrency exchanges. All centralized exchanges will move in this direction. As you mentioned, OKX has also announced support for full on-chain asset trading, and I even tweeted welcoming them to UEX. I believe that DEXs will also begin to offer superior services, such as 24/7 customer support—this was once a strength of CEXs, where DEXs were relatively weak. This convergence is inevitable.

More interestingly, we should observe more traditional trading platforms, such as Nasdaq. Two pieces of news are worth noting: In March of this year, Nasdaq announced that it was working to provide a 24/5 trading experience to cover investors in the Asian time zone; and just recently in September, they announced that they were exploring how to put their entire trading system on-chain, leveraging blockchain technology to enable faster, cheaper, 24/7 trading.

I believe Nasdaq is doing the same thing and will join UEX in the future. Because in our definition, UEX represents a trading platform that is faster, stronger, provides more products, and uses blockchain technology to create the best experience for users.

Responding to market shifts: Bitget’s new growth engine

PANews: In the last cycle, Bitget achieved rapid growth in both users and assets by leveraging its strengths in derivatives and its flexible token listing strategy. This was its growth engine in the past. So, what do you think will be the next growth engine? Will it be the traditional asset blockchainization you mentioned earlier?

Gracy: I think it will be everything encompassed by the UEX concept. On the one hand, the on-chain integration of traditional RWA assets will undoubtedly be a huge growth driver, attracting a large number of traditional investors into the crypto space. During this bull-bear cycle, we've seen the pricing power of crypto assets gradually shift from retail investors, miners, exchanges, and project developers to Wall Street. This is exactly the group we're trying to serve. While we don't offer US stocks directly like Nasdaq, by tokenizing and on-chaining leading tech stocks, we're equally competitive. We've already achieved 24/5 trading, faster than Nasdaq's planned implementation by the end of next year. Furthermore, we've pioneered US stock index contracts, supporting over 20 leading US stocks, including Apple and Tesla, with up to 25x leverage, a service that traditional finance still struggles to offer. The advantages of crypto exchanges are speed, ruthlessness, and accuracy.

On the other hand, I believe AI will also be a core growth driver. Currently, many users still use AI for information gathering, or, as I mentioned earlier, as a "crypto doctor" for diagnosis. However, our GetAgent allows for direct order placement. You can have the agent develop and execute your strategy, or even modify it and have it execute it. I believe that placing orders through AI agents will significantly change user trading habits over the next one to three years. These are all areas of growth that I foresee.

The future of BGB: payment scenarios and ecosystem empowerment

PANews: As the core asset across Bitget's products, from trading and wallets to public blockchains, BGB is naturally a hot topic. Competition in the public blockchain and wallet markets is currently fierce. What are Bitget's plans for public blockchains (such as Morph) and derivatives decentralized exchanges (DEXs)? How will BGB be empowered in the future?

Gracy: To drive BGB adoption, or more importantly, price increases, we recently implemented a key strategic positioning: establishing BGB as the ecosystem token for the Morph public chain. Some users call it the "trinity" of exchange, wallet, and public chain. Previously, the market may have speculated whether Morph would issue its own token. Now, we have made it clear to the market: Morph will not issue its own token; it will directly use BGB.

At the same time, Bitget Exchange and Bitget Wallet have never stopped empowering BGB. For example, in our recent "God Mine" campaign, users can stake BGB or the project's official token to mine Launchpool rewards with an APR exceeding 200%. This type of empowerment is something we have always been committed to and will continue to do in the future.

Returning to Morph Chain, its development focus will be on payments and stablecoins. We've discussed this internally many times: beyond trading, what will be the next killer application for the crypto industry? We believe that after Bitcoin and various currency transactions, the next killer application will be stablecoins and payments. Especially in cross-border transactions and remittances, payments have the potential to become a massive market far exceeding exchanges.

The concept of UEX is to make exchanges the super portal of the future. Decentralized wallets have also aspired to become this portal, but we believe that with current technology and user experience, exchanges are clearly more advantageous in this role. So how should wallets like Bitget Wallet be repositioned?

This is why we prioritize payments as a strategic priority. Both Bitget Wallet and Morph Chain are developing platforms focused on the payment sector. While we currently have no plans to launch our own stablecoin, we have established in-depth collaborations with numerous leading stablecoin projects, from the early days of USDT/USDC to the more recent USDe (we were one of the first exchanges to support Ethena), as well as with some of the new stablecoin projects we have invested in. We hope to leverage Morph Chain to strongly support the application of these stablecoins in scenarios such as cross-border payments.

Industry polarization: The way out for crypto-native projects lies in returning to user needs

PANews: We're seeing a seemingly polarized situation across the industry. On the one hand, RWAs and stablecoins, led by traditional institutions, are booming; on the other hand, many crypto-native projects, such as Layer 2 (L2), DApps, and blockchain games, are struggling. What are your thoughts on this situation? What do you think is the future for crypto-native projects?

Gracy: I'll be the first to admit that there are indeed many projects that are creating "fake" needs. We won't name specific sectors, but almost every sector has teams truly working on solutions and thinking about how to provide users with better products and services, as well as projects that are inherently far from capital-driven and whose needs, in my opinion, seem "fake."

For example, GameFi is struggling right now. I've invested in several GameFi projects and funds, and they've all performed very poorly. This is truly a challenging space. I believe that if a project is already working, it must return to focusing on the real needs of users. If you're a GameFi project, you must consider the playability of the game itself, not just designing a pure mining model.

I once wrote an article on CoinDesk criticizing the "Tap-to-Earn" model like StepN. I believe that ecosystem is deeply unhealthy because the project's subsidies are unsustainable. And if a so-called "game" product lacks even the most basic playability and simply allows users to "tap," then its essential value is lost.

Therefore, whether investing or participating in a project, I believe common sense is essential. While there may be plenty of short-term hype, if a project lacks fundamental support and a truly excellent user experience, it will be difficult for it to create long-term value in this industry. Investors may ultimately be exploited by project owners through "pump and dump" tactics. From a probabilistic and big data perspective, anything without value is ultimately unsustainable. Users should prioritize fundamentals, while project owners must address real user needs.

Advice for cross-border players: Find the right direction and close deals with purpose

PANews: Many people in traditional industries are interested in entering the Web3 space. You yourself have successfully transitioned from a prominent media professional, quickly rising from Managing Director to CEO at Bitget. As a successful veteran, what experiences and advice can you share with those looking to enter the industry?

Gracy: Let me correct a little bit. I started working in the media industry ten years ago. Between then and joining Bitget three and a half years ago, I was constantly working on Web2 startups, one in Fintech and another in VR/Metaverse, both of which are somewhat relevant to what we're doing now. When I joined Bitget, I was Managing Director.

As for advice for newcomers, the first point is: anyone with talent and a skill can find their niche in the crypto space. Whether you're a CFA with experience in traditional finance, an artist, or someone like me who specializes in Web2 operations and marketing, you can all make a smooth entry. So, the first tip is to take the leap, and choose Web3. Why? Because it's a burgeoning industry, full of new opportunities, and eager to recruit talented individuals. When joining a company, never join a declining industry, where everything you do might be wrong.

Secondly, after entering this industry, you must learn how to quickly learn and engage in truly meaningful social interactions. I recently published a "Token2049 Meeting Guide" because I see many people socializing just for the sake of networking. My advice is to not just socialize, but to "close deals." You can't just think about "taking a photo with Gracy," but think about "how to do business with Bitget" and "how to make Gracy remember me among the 100 people she met today."

I consider "purposefulness" a very positive concept. If you don't have a purpose, you're wasting everyone's time. Of course, if someone just wants a photo, I'm happy for that, but I prefer people to connect with us and close deals with a purpose. This also applies to working for any company or project: you need to develop yourself with a purpose, meet partners with a purpose, and ultimately achieve results. It all boils down to simple principles: choose the right direction and track, believe in your strengths, and deliver results. This is also the fundamental principle we follow when selecting people and partners.

The power of women: Web3's flexibility is a unique advantage for balancing work and family

PANews: As women and mothers, we not only face workplace pressures but also carry the expectations of our families. In an industry dominated by men, would you encourage women to join? Do you believe women can balance work and family? What are their strengths?

Gracy: On the contrary, I think women have certain advantages in this field. Although people joke that Crypto is a "bro culture," and it is also financial technology, these two fields are indeed male-dominated in the traditional world, but women actually have two major advantages here.

First, because the majority of exchanges are male, it's easy for you, as a woman, to stand out. Many people say that Bitget is remembered because Gracy is the only female CEO among the top ten exchanges. Because I'm a woman, it's easier for me to stand out and be noticed. I encourage women not to be shy about leveraging this. We don't need to wait for others to say "ladies first"; we can take the initiative and step forward.

Secondly, I really appreciate the flexible work hours in the Web3 industry. Last week, a typhoon hit my area for three days, and my son didn't have to go to school. If I were working in a traditional industry, those three days would have been completely chaotic. But because I can work from home, I can spend time with my son between meetings. This flexible work schedule and location has actually helped me achieve a better balance between work and family. Many of my colleagues at my company have seen my son via video conference, which I find unique and endearing as a mother and a senior executive, an experience that isn't easily accessible in Web2 or traditional finance. I encourage everyone to leverage the cultural characteristics and flexible work schedules of our industry to turn perceived threats into opportunities.

Market Outlook: Pullbacks are opportunities to buy, but be wary of leverage risks

PANews: Finally, let’s return to the current industry and market conditions. The market has been somewhat turbulent recently. Do you have any advice for investors?

Gracy: Of course, the following doesn't constitute financial advice; it's simply my analysis from an industry perspective. First, if you're still using aggressive long strategies, such as high leverage, or blindly chasing new projects you don't understand, you might consider shifting to a more defensive strategy.

On the other hand, for those who have no crypto asset allocation at all, such as many family offices or friends in traditional sectors I've talked to recently, this pullback actually gives everyone an opportunity to get back in. If your portfolio doesn't have any BTC, ETH, or BGB at all, I think you should allocate at least 5%, or even as much as 20%.

So, is this bullish, bearish, or neutral? I believe that, from a five-year long-term perspective, the market is definitely still at a low point. But at this stage, is it possible for the market to drop another 20%? I think it's entirely possible. I tend to believe that the current four-year cycle is less defined and less volatile than before. This is because pricing power has shifted more to Wall Street and institutions, meaning that Bitcoin's price has become more correlated with traditional assets like US stocks, particularly the "Big Seven" tech companies.

While Bitcoin has recently declined, US stocks haven't. Therefore, I tend to view this as a minor correction rather than the start of a bear market. Even so, if you're using aggressive strategies and high leverage, you might consider reducing leverage and adopting a more defensive stance. Of course, you can also contact our GetAgent.