Bitget CEO Gracy Chen on the $388M hack, user trust, AI and the future of trading

The cryptocurrency industry has lost approximately $8.65 billion to $8.98 billion to security breaches in 2026 alone, according to CertiK. This includes the Bitget exchange hack in September, worth $388 million and the Binance exploit last week, which resulted in the loss of roughly $6.3 billion.

The attack on Bitget raised key questions about the security of user funds on centralized cryptocurrency exchanges (CEXs), especially as Artificial Intelligence (AI) technology advances.

Still, Bitget’s response stood out amid the crisis. In an exclusive interview with FXStreet, Bitget CEO Gracy Chen offers a detailed account of events, lessons the team learned, her broader view on improving security, building trust, AI and the evolution of the trading landscape.

Bitget hack and the lessons learned

The Bitget hack began with small unauthorized transfers before escalating to larger multi-chain withdrawals. Bitget’s security systems detected the anomalies and stopped the withdrawals within minutes. Internal investigations showed that attackers exploited a vulnerability in a third-party security product that triggered the exchange’s transaction authorization process. Neither private keys nor cold wallets were compromised.

“We did our best, and within a few hours we made the decision to bear the loss as a company rather than have any of our users bear it,” Chen said to FXStreet.

Bitget has since restructured access to sensitive systems, adopted layered approval requirements for critical operations, tightened monitoring as well as conducted an extensive overhaul of how the company assesses and integrates third-party products. Furthermore, the exchange put more restrictions in place on what external products can access within its network.

While Bitget had worked around the clock to mitigate the incident and restore operations, the team prioritized transparency and communication. Withdrawal services were restored within three days, with Chen noting initial panic Bitcoin (BTC) outflows. Sentiment shifted after Ethereum (ETH) withdrawals resumed, and inflows started to outweigh outflows.

On whether Bitget could fall victim to another security breach, Chen emphasized continued improvement aligned with advances in technology.

“I want people to know that I cannot promise, and I don’t think any trading platform can promise that there will be no hacks,” Chen said, adding, “But what we can promise is that if anything like this happens, we will communicate transparently, and we will put the interests of our users first.”

Technology as a double-edged sword

Chen framed technology as having a dual use, allowing for development in system monitoring, AI-driven detection and a layered approval requirement for critical operations, all of which help to protect user funds. Still, the same technology can also accelerate more sophisticated attacks, including AI-related ones.

Bitget has integrated AI across many of its operations, including research, signal detection, execution, risk monitoring and marketing programs. Nonetheless, Chen cautioned against over-reliance on the technology, adding that “AI at least today, is here to make good strategies work better, rather than just giving someone with no trading background a 100% guaranteed strategy.”

RWA tokenization and the future of trading

Away from the hack incident, Chen painted Bitget’s future and long-term direction, starting with the launch of the company’s Alliance profit-sharing program. The program allows the exchange to share about 30% of trading profits with users as part of its efforts to rebuild trust after the security incident.

Bitget’s long-term goal is to transition into a universal exchange, bringing together forex, equities and real-world assets (RWAs) on one platform with stablecoins serving as the base currency. While acknowledging regulatory challenges across jurisdictions, Chen said users are increasingly interested in traditional assets offered on cryptocurrency exchange platforms.

“You don’t need to be the biggest. As long as you have a good number of users who use your platform daily, it’s a profitable and sustainable business. You don’t have to outperform everyone to stay in the competition,” Chen added.

Despite growth milestones in RWA tokenization, Chen argued that many pieces still need to come together to solidify the next phase, including liquidity challenges, especially on weekends. Moreover, crypto exchanges are still a long way from ensuring investors in tokenized assets enjoy the same rights as those in traditional markets.

“This is something the industry is moving towards in order to resolve it, or to provide voting rights, or to allow our users to attend Annual General Meetings (AGMs), or the like,” Chen explained.

The CEO believes the future could look different from what we see today, with the borders between crypto and traditional finance fading. Investors are likely to start focusing on platforms that offer fair value, operate on weekends, charge low fees and have solved the liquidity challenge.

“I think the boundaries won’t really be clear in the future,” Chen concluded.