The digital currency industry is growing stronger and becoming more attractive to institutions every year. In recent months, several prominent institutions indicated an interest in offering cryptocurrency-related services. PayPal is perhaps the most noteworthy example. Today, one of the largest commercial banks in Singapore, DBS Bank, is preparing to launch its proprietary digital currency exchange.
The information thrills most crypto enthusiasts in the country. They are optimistic that the development can result in mainstream adoption of cryptocurrency in Singapore.
Bank-backed Crypto Exchange
The cryptocurrency exchange is known as DBS Digital Exchange, according to the information found on its webpage. The platform is basically an entry point to cryptocurrencies for DBS Bank customers. Using a diagram, the Singapore bank disclosed that the exchange focuses on three important crypto services. These include digital currency exchanging, security token offerings or STOs, and digital currency custody.
For the exchange service, DBS Banks plans to support fiat-to-crypto tradings of four digital currencies and fiat currencies. The supported cryptos include Bitcoin (BTC), Ether (ETH), Ripple (XRP), and Bitcoin Cash (BCH). Users can trade them against the Singapore dollar, US dollar, Japanese Yen, and the Hong Kong dollar. For now, these are the only supported crypto assets and fiat currencies for the exchange.
Moving forward, the exchange’s dedicated webpage shows that DBS Bank also intends to introduce security token offerings. By conducting this type of fundraising, the exchange offers small and medium-sized enterprises (SMEs) another viable option to acquire startup capital. DBS Digital Exchange allows for the tokenization of real assets into tradeable digital tokens.
The exchange won’t hold the cryptocurrencies of users like many crypto exchanges do. DBS Bank is responsible for the custody of assets, as it is globally recognized as a qualified custodian. Through the DBS Digital Custody service, it ensures the optimum safekeeping of assets. Officially, the platform is an institutional-grade custody platform specifically launched for DBS Digital Exchange assets.
Institutions join the crypto market
“DIGITAL ASSETS ARE POISED TO BE THE FUTURE OF TOMORROW’S DIGITAL ECONOMY,” THE WEBPAGE READS. “WITH DBS DIGITAL EXCHANGE, A BANK-BACKED DIGITAL EXCHANGE, COMPANIES AND INVESTORS CAN NOW LEVERAGE AN INTEGRATED ECOSYSTEM OF SOLUTIONS TO TAP THE VAST POTENTIAL OF PRIVATE MARKETS AND DIGITAL CURRENCIES.”
This latest development indicates that institutions are expressing an interest in the crypto market. Hence, one can easily predict that the mainstream adoption of cryptos is around the corner. Recently, Blocdesk reported that the leading digital payment giant, PayPal plans to debut buying and selling of digital currencies from its platform. Combined with the number of companies leveraging a Bitcoin treasury, real changes are coming.