DigiFT Obtains Recognition as Recognised Market Operator and Capital Markets Services Licence From the Monetary Authority of Singapore

05.12.2023 - 06:33:22

Business Wire India

DigiFT, a digital assets exchange, was admitted into the Monetary Authority of Singapore FinTech Regulatory Sandbox in June 2022 for dealing in capital markets products by facilitating the issuance of security tokens, and for operating an organised market for secondary trading
As a Capital Markets Services licence holder and a Recognised Market Operator, DigiFT is poised to scale its services in both primary market origination and distribution, as well as secondary market trading for on-chain real-world assets tokens that are securities or units in a collective investment scheme

DigiFT, a digital assets exchange, is pleased to announce today that it has obtained a Capital Markets Services (CMS) licence and has been recognised as a Recognised Market Operator (RMO) by the Monetary Authority of Singapore (MAS). A CMS licence will allow DigiFT to conduct the regulated activity of dealing in capital markets products that are securities or units in a collective investment scheme (CIS) in Singapore by facilitating the issuance of security tokens. As a RMO, it will also be able to operate an organised market for secondary trading of security tokens on the public blockchain.

Established in 2021, DigiFT is the first exchange with an Automatic Market Making (AMM) mechanism to have been admitted into the MAS FinTech Regulatory Sandbox. DigiFT’s platform is built on the Ethereum blockchain, offering secondary trading liquidity for security tokens backed by real-world assets such as bonds, equities and collective investment schemes, facilitated by AMM. Investors can subscribe, trade and redeem on-chain assets using fiat currency or stablecoins via its website or mobile app.

said, “Securing both the CMS licence and RMO recognition is a significant milestone in our journey to enable regulated access to financial opportunities on-chain. As the first exchange on the public blockchain to use an AMM mechanism for secondary trading, we will continue to unlock innovations, as a RMO, in the intersection of finance and blockchain technology, including the tokenisation of real-world assets.”

The firm aims to expand the availability of its mobile app across different regions, as well as enhance investors’ user experience with features such as on-chain proof-of-asset disclosure and cross-chain deployment. In addition to providing access to regulatory-compliant on-chain real-world assets, DigiFT is also working with issuers to enhance its product offerings. Tapping on the founding team’s deep experience in finance and blockchain technology, DigiFT identifies opportunities to bridge the gap between digital assets and traditional finance, offering services backed by institutional-grade risk management.

"Singapore, a leading hub for financial services and technological innovation, has proven to be a conducive launchpad for fostering fintech breakthroughs. At DigiFT, we are honoured to have been awarded the license in one of the leading financial hubs, and we will remain focused on building the next generation of capital markets with responsible innovation," Henry added.

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About DigiFT

DigiFT was admitted into the Monetary Authority of Singapore (MAS) FinTech Regulatory Sandbox to deal in and operate an organised market for on-chain real-world assets built on the Ethereum public blockchain. DigiFT allows asset owners to issue blockchain-based security tokens and investors can trade with continuous liquidity via an AMM.

Established in Singapore in 2021, DigiFT is fully committed to meeting existing regulatory requirements to operate in the capital markets space in Singapore, while providing innovative financial solutions that push the boundaries of financial services in a responsible manner.

DigiFT’s founding team comprises executives who have held positions within the finance and fintech worlds at Citi, Standard Chartered, Morgan Stanley, and Shenzhen Stock Exchange, and possess deep blockchain technology knowledge, having successfully developed digital asset exchange and products in the past.