SBI Holdings financial services provider company invests in Singapore crypto exchange Coinhako
SBI Holdings which is Tokyo-based
financial services has declared a joint investment in Coinhako which is
Singapore’s first licensed crypto exchange platform received approval from approved
by the Monetary Authority of Singapore (MAS).
According to a report, one MAS spokesperson highlighted the importance of seeking all the required licensing approvals for cryptocurrency businesses: “MAS’ approach to regulation under the Payment Services Act seeks to facilitate innovation while ensuring that adequate controls are in place to address key risks such as money laundering and terrorism financing.” As mentioned in the notice, a fund, namely, SBI-Sygnum-Azimut Digital Asset Opportunity Fund was set up by SBI joining along with Switzerland-based Sygnum Bank. Through this fund, the investment by SBI was made. Around a month before the SBI funding, MAS gave regulatory approval to Coinhako.
Alos Read | Crypto Exchange Binance Singapore withdraw crypto trading License and will close by Feb13, 2022
In the Singapore, Coinhako became the first operating cryptocurrency exchange that received in-principal approval from the MAS to provide Digital Payment Token (DPT) services. In this regard, a spokesperson from MAS said, “Applicants can withdraw their applications should they see fit, upon which those who are operating under the exemption will be required to cease providing regulated payment services. Binance Asia Services has provided MAS with a plan for the orderly cessation of its regulated payment services.”
Based on the previous international network set up that Coinhako has and with SBI’s fund infusion, Coinhako plans to make the base in Singapore and expand the business to other Southeast Asia countries. As per SBI, both parties will manage funds focusing on financial market infrastructure and distributed ledger technology.
License for other firms suspended by MAS:
After the digital asset platform listed a K-pop-related cryptocurrency, Army Coin (ARMY), the Monetary Authority of Singapore canceled the license of Bitget. As per the report listing and promotion of ARMY violated the boy band’s intellectual property rights.
CBW - External Analyst