In the aftermath of the US banking crisis, demand for regulated crypto financial institutions is on the rise, according to Sygnum, including in Singapore.
Following a US banking crisis that saw the collapse of Silvergate Capital and Signature Bank, there has been a spike in interest from prospective crypto clients, according to a «Bloomberg» report citing Gerald Goh, co-founder and CEO of Sygnum Singapore.
Sygnum’s Swiss bank was a beneficiary of the trend, resulting in client assets (including digital tokens) reaching an «all-time high» of 3 billion Swiss francs ($3.3 billion) at the end of May. And the Zurich-headquartered crypto bank is now eying opportunities in Singapore.
«After the US banking crisis, demand for regulated crypto financial institutions has gone up and the Singapore license will help us to offer the services to such clients,» Goh said.
Singapore Opportunity
In Singapore, Sygnum plans to leverage its recently obtained in-principle approval from the local regulator to offer crypto custody and broker-dealer services. The brokerage will matchmake quotes from its clients by aggregating bid-offer from market makers via Sygnum Bank in Switzerland, which will act as the counterparty.
A final license in Singapore will allow Sygnum customers to trade, send and receive crypto and fiat money, but will exclude conversion between fiat money and cryptocurrencies.
Sygnum was founded in 2017 in Zurich and provides services across custody, brokerage, asset management, lending, and tokenization.
