From Dorm Room Discovery to Global Exchange: A Retrospective with BitMart Founder Sheldon

A Sophomore's Bitcoin Epiphany

It all began in 2013. Sheldon, a sophomore at Hangzhou Dianzi University immersed in the world of code, stumbled upon a news article about a groundbreaking ASIC mining algorithm. This sparked a fascination with Bitcoin, a technology he saw as a revolutionary force for global change and financial freedom.

That same summer, Sheldon attended a Bitcoin conference in Hangzhou, a pivotal moment where he connected with future industry titans like CZ, Star Xu, and James Gong. This early exposure solidified his belief in the transformative power of blockchain technology.

Building BitMart: From Concept to Reality

After completing his master's degree in computer science in 2017, Sheldon, fueled by his passion for blockchain, co-founded BitMart. The journey was not without its hurdles, from navigating the complexities of team building and fundraising to launching the exchange at the tail end of a bull market in March 2018.

Navigating the Crypto Rollercoaster: Years of Growth and Consolidation

BitMart's trajectory can be divided into distinct phases. The initial years (2017-2019) were marked by the challenges of a nascent startup, culminating in the harsh realities of the 2019 bear market. This period tested the team's resilience and led to some restructuring.

A strategic investment from Fenbushi Capital in 2020 marked the beginning of a period of rapid growth. Coupled with a resurgent bull market and the rise of DeFi, BitMart experienced explosive growth in trading volume and user base.

The years 2022 and 2023 were dedicated to consolidating gains, strengthening risk management, and investing in security infrastructure. This involved further refinements to the leadership team and technical systems, preparing BitMart for the next phase of its evolution.

The Derivatives Engine and the Path to Decentralization

2024 saw the launch of BitMart's in-house developed derivatives system, a key milestone that propelled the exchange into a new era of growth. This cutting-edge system, combined with further leadership adjustments, positioned BitMart to capitalize on the growing demand for derivatives trading.

Looking ahead, BitMart is focused on building the infrastructure for the Web3 world. Key to this vision is the planned launch of a decentralized wallet in 2025, which will empower users with greater control over their assets and provide a seamless gateway to the decentralized ecosystem.

Compliance as a Cornerstone

Unlike some exchanges that prioritize aggressive growth at the expense of compliance, BitMart has taken a different approach. With a Chief Compliance Officer in place from day one, the exchange has prioritized a stable and compliant development path, reflecting its commitment to long-term sustainability.

The Future of Crypto Exchanges: A Converging Landscape

Sheldon believes that while CEXs and DEXs currently cater to different user groups, the long-term trend is towards convergence. Each platform type has its strengths, and the future likely holds a symbiotic relationship where CEXs and DEXs leverage each other's advantages to create a more comprehensive and robust trading ecosystem.

Market Predictions and Regulatory Outlook

Sheldon sees Bitcoin's long-term prospects as bright, with a $1 million price target on the horizon. However, short-term price movements remain sensitive to macroeconomic factors and regulatory developments. While Bitcoin appears resilient, the broader altcoin market faces challenges due to a lack of new capital inflow and innovative projects.

Regarding US regulation, Sheldon acknowledges the potential for stricter policies in the future, depending on political shifts. However, the current environment offers a window of opportunity for the industry to build and innovate under a relatively less restrictive regime.