As per a new announced on July 30, a new crypto exchange introduced by Diginex would allow trading of derivative products on its platform in Singapore,
Diginex Ltd., which presently is waiting to get listed on Nasdaq, has already applied for the crypto operating licence in Singapore.
Singapore Regulatory Environment Suitable For Diginex
Diginex in its announcement has mentioned that unlike its other businesses, which are being operated from Hong Kong, the Blockchain-powered financial services company has decided to manage its new crypto exchange, EQUOS.io from Singapore.
Recently, the Chief Executive at Diginex, Richard Byworth, stated that compared to Hong Kong the regulatory environment of Singapore is more suitable for its crypto exchange.
He further stated that authorities around the world are struggling hard to regulate the companies dealing in cryptocurrencies. However, there are some of the authorities across the world have regulated the crypto companies, as they believe that this would show its legitimacy to the crypto investors.
In the year 2019, Hong Kong released an opt-in licencing system for crypto exchanges, but it does not allow the trading of derivative products on that platform. Regarding it, the markets regulators stated that trading of crypto futures contracts on any of the exchanges in Hong Kong would be illegal.
EQUOS.io To Offer Complex Products
According to Byworth, the new crypto exchange launched by his company in Singapore would not only allow spot trading but also will offer more complex products.
He further mentioned, “On the more interesting edge of (cryptocurrency)derivatives, we have seen a more limited product set come to market because we are constrained by the infrastructure.”
Additionally, Byworth said that the firm is expecting that with the help of newly-launched exchange it would be able to bridge the infrastructure gaps.
It has been reported that according to the new payment rules introduced by the Singaporean authority, the crypto companies being operated in the city only needs a licence for their further activity, they don’t need to focus on the operating model of the company.
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