Singapore’s largest commercial and retail bank, DBS, is likely to enter the cryptocurrency sector with three new offerings. According to the reports, DBS will introduce crypto custody and trading along with a platform for conducting security token offerings. The DBS’ website briefly shared description and components of the offerings and was immediately removed.
The bank has named this new venture ‘DBS Digital Exchange’ which will support five cryptocurrencies, including XRP, Ethereum, Ethereum Classic, Bitcoin, and Bitcoin Cash. The digital exchange will also support fiat currencies, including the Singapore dollar, the Japanese yen, the Hong Kong dollar, and the US dollar.
Largest commercial bank in Singapore, @dbsbank, is reportedly preparing to launch a cryptocurrency trading service https://t.co/q2f0gMRLf5
— Cointelegraph (@Cointelegraph) October 27, 2020
Since the bank is recognised for its remarkable custodial services, all of the digital assets will be acquired by the DBS Bank and the digital exchange will not hold any of them. The exchange will allow all corporations, including SMEs, to issue security tokens.
Since the DBS Banks is regulated by Singapore’s Monetary Authority, the digital exchange can offer distinct benefits like institutional-grade security assurance. The predicted bank-backed exchange also aims to provide robust measures for maintaining stringent compliance and preventing fraud with AML/CFT regulations.
The details have been on the surface about the exchange, but the spokesperson for DBS bank stated that it is still a work in progress and no announcements will be made until regulatory approvals are received.
