Last week, Southeast Asia’s largest bank, DBS Bank, reported that it was close to launching its cryptocurrency exchange. The statements were offered by the CEO of this financial institution, Piyush Gupta and through a statement on its website.
Importantly, this platform will offer digital asset custody services for retail, institutional and elite investors. At the same time, the institution allows the tokenization of assets. In this way, it became one of the first large banks to provide this type of service to its clients.
It should be noted that, on this platform, called DBS Digital Exchange, digital currencies can be exchanged for fiat. According to the information of the DBS itself, 4 fiat currencies will be used, which are the Singapore dollar, the Hong Kong dollar, the United States dollar and the Japanese Yen. In parallel 4 cryptocurrencies, Bitcoin, Ether, Bitcoin Cash and XRP.
Why is the DBS Bank cryptocurrency exchange important?
The fact that one of the most important banks in Asia, dedicates infrastructure for a cryptocurrency exchange, is important news. Until recently, financial institutions viewed digital currencies as dangerous due to their volatility. The first to give in were the central banks and now private banks.
«With the DBS Digital Exchange, Blockchain technology will be leveraged to provide an ecosystem to raise funds through asset tokenization. In the same way with digital asset exchanges including cryptocurrencies», Explains the bank in its statement.
On another note, DBS Bank highlights the qualities of cryptocurrencies as protagonists of finance in the future. «They are poised to be the tomorrow of the digital economy».
Some details that have been shared is that the cryptocurrency exchange already has the endorsement of the Singapore financial authorities. Now, you will be able to trade organized markets for assets such as stocks, bonds and stock funds.
Other Features of the DBS Digital Exchange
Some details about the variety of services provided by the DBS Bank digital exchange are shown below:
- Security Tokens Offerings: A regulated platform for the issuance and exchange of digital tokens protected by digital assets. Among them, the shares of stock companies, stock funds and bonds stand out.
- Digital Exchange: The cryptocurrency exchange will facilitate operations to go from fiat money to digital currencies and vice versa.
- Digital Custody Services: An institution-grade digital custody solution to meet the growing demand for custody insurance. It should be noted that they are adapted to digital assets under regulatory standards.
Gupta explains that the raid of DBS in the world of cryptocurrencies, it is due to the great business opportunities in the digital area. «The exponential rate of asset digitization translates into a great opportunity to reshape markets», He stressed.
In this sense, he continues, «we must prepare to welcome the adoption of digital assets».
Some peculiarities
Unlike any cryptocurrency exchange like Binance, DBS Digital Exchange is exclusive. In other words, it is designed for accredited members who meet the high demands of this bank that operates in more than 15 countries.
It is important to highlight that the DBS Bank movement occurs at a time when institutional investors are turning to Bitcoin. Thus, the week that ended on December 7, these investors would have deposited more than 429 million dollars in funds and products related to cryptocurrencies.
Another aspect of this initiative is that this exchange, apart from being a subsidiary of DBS Group Holdings, with a 90% ownership of the platform, also has a 10% stake in the Singapore Exchange (SGX).
Data to take into consideration
- DBS Bank, becomes one of the first financial institutions to offer services to exchange fiat for cryptocurrencies and vice versa.
- On the DBS cryptocurrency exchange, Bitcoin, Ethereum, Bitcoin Cash, and XRP can be exchanged.
- The fiat currencies exchangeable for cryptocurrencies are the United States dollar, Singapore and Hong Kong, in addition to the Japanese Yen.
- Piyush Gupta, CEO of DBS Bank, ensures that cryptocurrencies provide a great opportunity for the businesses of the future.
Related