The Monetary Authority of Singapore (MAS) has licensed Major Payment Institutions to DBS Vickers (DBSV), a brokerage arm of DBS Bank, as well as the Australia-based Independent Reserve cryptocurrency exchange, to provide services of digital payment token here.
MAS has received 170 license applications from digital payment token service providers, including global crypto exchanges such as Coinbase and Kraken. 30 applications were withdrawn after their commitment to MAS and two have been rejected.License applicants were subject to an examination by MAS to review its policies and procedures regarding customer protection mechanisms, transaction review and compliance structures, as well as the robustness of its technology services from the information.
The first license was granted to Singaporean fintech firm Fomo Pay last month.
Now, DBS Bank is the first bank to obtain a Singapore license to offer digital payment token services, while Independent Reserve is the first foreign entity to obtain one.
This license approval means that DBSV, as a member of the DBS Digital Exchange (DDeX), will be able to directly support asset managers and companies in exchanging digital payment tokens through DDeX.
“Having received formal regulatory approval from MAS, DBSV is now in a better position to help institutional and corporate investors take advantage of the growing potential of digital assets as an investment class. This marks another important milestone in our ability to provide integrated solutions across the entire digital asset value chain, from deal creation to tokenization, listing, trading and custody, ”said Eng-Kwok Seat Moey, Head of Capital Markets of DBS and president of DBS. DDeX.
“We believe the DBSV license, coupled with recent DDEx enhancements, such as 24-hour operations since August, could increase DDEx volumes in the coming months and accelerate the growth momentum of the DBS digital asset ecosystem. “.
Since its launch last December as a members-only course, DDEx has been in good demand from clients, including corporate and institutional investors, accredited individuals, and family offices.
He hopes to double the number of DDEx participants to 1,000 and grow his base by 20-30 percent annually over the next three years as investments in digital tokens gain greater acceptance.
Independent Reserve one of the first VSAPs to be licensed under PSA
Following license approval, Independent Reserve will operate as a regulated provider of Digital Payment Token Services and is one of the first virtual asset service providers to gain full license approval under the Payment Services Act. in Singapore.
CEO Adrian Przelozny said Singapore’s well-regulated environment would thoroughly address investor protection concerns, including safe custody of assets, KYC requirements, and market manipulation, making it easier to provide cryptocurrency services. to financial institutions wishing to trade digital assets.
A well-regulated environment will benefit both investors and stakeholders in the crypto industry. With custom rules for the crypto industry, Singapore currently has the clearest and most detailed licensing requirements of any jurisdiction in Asia.
And now Independent Reserve is one of the first fully licensed crypto exchanges available to the people of Singapore, allowing them to use their SGD quickly and safely to get in and out of crypto. Independent Reserve offers trust, world-class security, and deep global liquidity, and now our doors are wide open to other companies seeking a gateway to cryptocurrencies.
– Adrian Przelozny, CEO of Independent Reserve
Established in Australia in 2013, Independent Reserve embarked on its international expansion plans in late 2019, establishing its first overseas operations in Singapore to provide OTC trading and digital asset exchange services to individuals and institutions.
Independent Reserve offers SGD, AUD, USD and NZD fiat-to-crypto trading pairs. This is a huge step forward for Singaporean individuals and businesses looking for an easy and reliable access route to cryptocurrencies.
It had received “approval in principle” from MAS in August, and since then the company has seen an influx of retail and institutional investors.
Featured Image Credit: DBS Bank / Independent Reserve