Bank of Singapore (DBS), the largest bank in Southeast Asia, has announced a series of achievements for its crypto business. To satisfy the rising demand for cryptocurrencies, its brokerage arm has received preliminary clearance from the Monetary Authority of Singapore (MAS), Singapore’s central bank.
DBS receives permission
DBS is one of the first financial institutions to receive such permission. Therefore, DBS is currently trying to meet the central bank’s conditions for a full license. The company further explained-
“Once licensed, DBSV, as a member of DBS Digital Exchange, will directly support asset managers and companies to trade in digital payment tokens.”
As a second announcement, DBS Bank said its crypto exchange “will operate round-the-clock” as of August 16. There is a need to fine-tune processes and regulations. Therefore, the deal is only open during Asian trading hours at the moment.
DDex is exclusive
The bank’s crypto exchange is only exclusively open to approved investors and institutions. Additionally, it states that it “has gained good traction since its launch” late last year. In May, the bank reported a tenfold rise in the amount of crypto trading on its exchange. During the same month, it also introduced a cryptocurrency trust service.
Four fiat currencies (SGD, USD, HKD and JPY) and cryptocurrencies (BTC, BCH, ETH, and XRP) are available on DBS Digital Exchange.
Bank’s Statement
According to the bank: “Around 400 investors are onboard to trade on Ddex as at end-June 2021. Ddex recorded close to SGD 180 million [$132.49 million] in total trading value in Q2 2021, more than five times the value traded in the previous quarter. DBS has over SGD 130 million in digital assets in its custodial services.”
According to the bank, security token offers (STOs) are on the rise. Additionally, it notes that the exchange’s first STO was listed in June of this year.
DBS Comments
Capital Markets Group Head of DBS, Eng-Kwok Seat Moey, stated: “We have seen keen interest among asset managers and corporates for access to digital payment token services, and with DBSV receiving in-principle approval under the PS Act, we are well-placed to meet this growing demand … We are confident of doubling our investor base by the end of the year.”
“This could add to Ddex’s volumes in the coming months and, coupled with Ddex going operational round-the-clock, help accelerate growth for Ddex,” he further opined.
