DBS, Singapore’s largest bank, is launching a fiat-to-cryptocurrency exchange, The Block has learned.
The trading platform known as the “DBS Digital Exchange” would allow users to trade four crypto assets – Bitcoin (BTC), Bitcoin Cash (BCH), Ether (ETH) and XRP – against Singapore Dollars (SGD), Hong Kong Dollars ( HKD), Japanese yen (JPY), and US dollars (USD).
According to a now-deleted website, the exchange would also conduct Security Token Offerings (STOs) “in due course” to help small and medium-sized businesses raise funds, but The Block can still access the cached version.
“Digital assets are ready to be the future of the digital economy of tomorrow,” it says on the cached website. “With DBS Digital Exchange, a bank-supported digital exchange, companies and investors can now use an integrated ecosystem of solutions to unlock the enormous potential of private markets and digital currencies.”
For the custody of customer funds, DBS Digital Exchange will use the services of its parent company, DBS Bank. The bank has “deployed DBS Digital Custody, an institutional-grade custody solution specifically tailored for the custody of digital assets,” the website says.
Following the release of this report, a DBS spokesperson told The Block, “DBS ‘plans for a digital exchange are still in the works and have not received regulatory approvals. No further announcements will be made until the approvals are received. “
No weekend trading
According to an FAQ section of the website, DBS Digital Exchange would be directly available to institutional investors, including financial institutions and professional market makers. Private investors, on the other hand, would have to access the platform through a DBS member such as DBS Vickers Securities (Singapore) and DBS Private Bank.
Unlike other crypto exchanges on the market today, DBS Digital Exchange doesn’t allow trading on weekends, according to the website. And on weekdays, it would limit trading hours to 9 a.m. to 4 p.m., similar to exchanges.
DBS Digital Exchange is regulated by the Monetary Authority of Singapore, according to the website. Its official start date is still unknown. The Block has contacted DBS for comments and will update this story should we hear anything.
The development seems to indicate that crypto is becoming mainstream in all regions. Last week, US payment giant PayPal said it would enable its 350 million users to trade cryptocurrencies in collaboration with industry startup Paxos.
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