The financial body of Singapore, the MAS has given licenses to companies for carrying out crypto services. DBS Vickers and Independent Reserve are the two Australian crypto trading companies with the license issued on 1st October. The license allows these firms to offer digital payment services in accordance with the PS Act.
Founded in 2013, Independent Reserve is the very first exchange for cryptocurrencies in Australia that provides services to institutional investors. Presently, the company has set up international operations. It provides virtual asset exchange and trading services to the users.
According to the CEO of Independent Reserve, Australia could learn from Singapore regarding cryptocurrency licensing. He further added that presently there were no custodian requirements in crypto exchange in Australia.
On the other hand, DBS Bank shall directly provide support to asset managers under the new license. The companies would be able to use digital tokens for transactions through DBS Digital Exchange. The DDEx mechanism was launched in 2020 last year. It supports exchange and investment in cryptocurrencies such as ether and bitcoin.
The DBS chair stated that the recent regulatory license is an important milestone for improving crypto services and trading. She believes that DBSV was now in a better position to lend its support to potential investors and institutions.
Both the companies had received approval for digital payment by MAS in the first few weeks of August.
The recent approvals on regulation have arrived after the pioneer, Binance, withdrew its services in Singapore in September. This happened since MAS warned that these exchanges could be a breach of the PS Act. The company had appeared on the investor alert list generated by the regulator. This list reflected that Binance was unregulated or unlicensed by MAS.
