Cryptocurrency Trading Platform Provider BC Group Reports 737% Rise in FY19 Revenue
BC Group, which is listed in the Hong Kong stock exchange, owns and manages institution centered cryptocurrency trading platform OSL. The firm has posted a 737% rise in FY19 revenue.
Specifically, in its earnings report, the company has revealed that its OSL cryptocurrency trading platform generated the maximum earnings, representing 44% of Group’s total revenues, an increase from only 6% in 2018.
The OSL digital assets platform facilitates institutional investors, including OTC (over-the-counter) brokerage, custodial facility provider, Software-as-a-Service tools and institutional digital asset exchange. BC Group reported FY19 revenue of RMB72 million ($10 million), an increase of 737% on y-o-y basis.
Along with the revenue increase, OSL submitted an application for licenses to perform regulated functions under the Hong Kong Securities and Futures Commission’s latest regulatory rules for cryptocurrency trading platforms.
The license application, submitted in November 2019, is perceived by the company as a landmark in its cryptocurrency business. In this regard, the company’s CFO Steve Zhang issued the following statement:
“We view the introduction of licensing for digital assets in Hong Kong in 2020 as an inflection point. This will galvanise institutional participation in the digital asset space and accelerate growth of BC Group and our OSL digital asset platform business as traditional securities continue to digitize.”
Highlighting the fact that digital asset securities market is predicted to expand by more than 5,000% to $11 trillion by 2024, BC Group stated that it is concentrating on improving administration and rebranding its digital asset offerings and other services.
To achieve its objective the company has set up OSL office in Singapore last July, fueling SaaS marketing initiatives targeting key institutions, and completing a $36 million share placement in January this year to finance its expansion plans.
In spite of the volatility in world markets amid coronavirus outbreak, the company does not trust that it will affect the switch over of financial services on the basis of digital assets.
Last month, Fidelity International bought 17 million shares of BC Group, representing a 5.6% stake in the company.