Singapore Exchange (SGX) will own a 10% stake in the newly launched crypto exchange service launched by DBS — the country’s largest bank.
The news marks a further extension of SGX’s foray into the crypto and blockchain space as one of the more cryptocurrency-friendly stock exchange operators in the world.
Singapore Exchange Puts Skin in the Game
Singaporean banking giant DBS announced the launch of its crypto exchange service dubbed “DBS Digital Exchange,” via a press release on Dec. 10. As part of the press statement, DBS revealed that SGX, the country’s major equities and derivatives exchange will own a 10% stake in the platform.
As part of the collaboration both DBS and SGX plan to ensure enhanced liquidity management for Singapore’s burgeoning digital asset landscape.
Commenting on the collaboration, SGX CEO Loh Boon Chye remarked that the stock exchange operator plans to leverage its market infrastructure and risk management capabilities to ensure the success of the DBS crypto exchange platform.
Back in September, SGX, in partnership with crypto market data aggregator CryptoCompare, launched a suite of cryptocurrency indices for Bitcoin (BTC) and Ethereum (ETH) price data. Also in September, the stock exchange operator deployed blockchain technology to issue a $300 million digital bond package.
Crypto Custody and Tokenization Included in DBS Exchange Package
As previously reported by BeInCrypto, DBS was looking to launch a crypto exchange service back in October. According to the press release, the platform will offer custody and tokenization services in addition to cryptocurrency trading.
With trading expected to begin before the end of the year, the DBS exchange will support four cryptocurrency assets — Bitcoin (BTC), Ethereum (ETH), XRP, and Bitcoin Cash (BCH). These cryptocurrencies will be available for trading against four supported fiat currencies; Singapore dollar (SGD), US dollar (USD), Hong Kong dollar (HKD), and the Japanese Yen (JPY).
Commenting on the launch, DBS CEO Piyush Gupta declared:
“The exponential pace of asset digitalization provides immense opportunities to reshape capital markets. For Singapore to become even more competitive as a global financial hub, we have to prepare ourselves to welcome the mainstream adoption of digital assets and currency trading.”
The launch announcement is also coming after an “in-principle” approval by the Monetary Authority of Singapore. Earlier in December, the government announced plans for a $9 million fund to support blockchain startups in Singapore.