Singapore’s largest bank DBS to offer crypto services to 300,000 investors
Singapore’s largest bank DBS alluded to schedule To open up cryptocurrency and digital asset services to 300,000 high net worth customers in Asia, financial times report.
The major bank will obtain a cryptocurrency license from the Monetary Authority of Singapore in 2021 to offer cryptocurrency services to its customers. So far, DBS is serving his 1,000 institutional clients on an invitation-only basis.
In an interview with DBS Bank CEO Piyush Gupta FT We have confirmed that over 300,000 clients in the Asian region will soon be able to use our cryptocurrency services.
Gupta said the bank is working to put in place the necessary guardrails to protect customers and lead to better investment outcomes.
Gupta added that DBS’ cryptocurrency services will only be available to accredited investors for the time being due to Singapore’s regulatory approach to retail investors.
“On the one hand, we want to be a global crypto hub.
Singapore regulator to protect retail investors
The recent contagion that led to the collapse of cryptocurrency firms such as Terraform Labs and Three Arrows Capital has prompted the Monetary Authority of Singapore (MAS) to consider new rules to protect retail investors.
On August 29, MAS Managing Director Ravi Menon said the authorities will place restrictions on the use of leverage functions for trading cryptocurrencies.
Retail investors are required to pass a customer suitability test before using a particular crypto service.
Regulations from October
Menon said the MAS is working to reveal a comprehensive framework to regulate the issuance and use of stablecoins by October.
This framework will help mitigate the risk of a stablecoin collapse that has impacted the broader financial markets.
Menon added that the guidelines will be strict enough to ensure that approved stablecoins maintain a stable value over time.
