BC Technology Group, the operator of Hong Kong’s publicly listed cryptocurrency exchange OSL, has announced a significant investment from industry firm BGX.
BC Technology partnered with BGX, which agreed to subscribe for shares in BC Technology for an investment of about 710 million Hong Kong dollars ($90.1 million), the firms said in a joint announcement on Nov. 14.
OSL operator BC Technology has reportedly considered selling the OSL exchange for $1 billion Hong Kong dollars, or $128 million.
BGX’s strategic investment in OSL will involve the subscription of new shares under a specific mandate, subject to approval by shareholders, the announcement notes.
According to the firms, the investment marks a testament to OSL’s commitment to setting new standards in digital asset security, compliance and technological innovation. As previously reported by Cointelegraph, OSL was one of the first crypto exchanges to acquire a Hong Kong crypto license in 2023.
The BGX partnership news comes the day after BC Technology halted trading OSL shares on the Stock Exchange of Hong Kong. A spokesperson for BGX denied the reports that linked BGX’s investment in OSL with the global crypto exchange Bitget and its Hong Kong-based subsidiary BitgetX, which announced its exit from Hong Kong in mid-November. The BGX representative stated:
“We would like to clarify unequivocally that BGX's equity investment in BC Technology Group is entirely independent of these other entities [...]. This investment decision by BGX is a standalone action of BGX alone.”
While denying the reports, BGX did not respond to Cointelegraph’s requests for details about the company’s background, founders or past projects.
In the joint announcement, BGX described itself as a “crypto group that aims to offer an innovative platform that allows institutional and retail investors to seek investment opportunities in crypto.” It appears to be unclear when the firm was founded. One of the first recorded snapshots by Wayback Machine, from March 2021, describes BGX as a “global digital currency exchange invested by SoftBank Investment.”
OSL declined to provide further information about the strategic investment.
Additional reporting by Zhiyuan Sun.
Update Nov. 16, 01:15 PM UTC: This article was updated to add BGX's statement that BGX's equity investment in BC Technology Group is entirely independent