Amid Singapore’s ongoing efforts to establish itself as a key player in the global crypto economy through the establishment of a clear regulatory framework, one of the country’s largest banks, Oversea-Chinese Banking Corp.
OCBC is considering the incorporation of crypto services through the establishment of a crypto exchange. Helen Wong, OCBC’s Chief Executive Officer, told Bloomberg in an exclusive interview that the bank is investigating the possibility of establishing a cryptocurrency exchange.
She said, however, that OCBC‘s interest in the decentralised business is not motivated by its popularity or demand from the public. Wong said unequivocally that the bank is neither conservative nor following trends mindlessly. Rather than that, OCBC is focused on its responsibilities and fiduciary duty to consumers as a financial institution; so, doing due diligence before to entering an unregulated business is the very minimum they can do to assure consumer safety.
“We’re looking into it, and there is some work being done at the bank. If you say we’re looking at it, it’s very much in the context of meeting client demands in a safe way. We want to assist them in identifying the investment and determining how to manage it,” Wong said.
OCBC’s CEO addressed concerns about uncontrolled digital assets, including the high-risk transactions associated with the industry’s decentralised and opaque approach to anonymity. Wong said that she favours the term “crypto-assets” over “cryptocurrencies” since they have not yet gained legal tender status.
The nation’s authorities are in the process of establishing a global leadership position in the cryptocurrency business. Earlier this month, Singapore’s central bank, the Monetary Authority of Singapore (MAS), explained that rather than imposing a China-style blanket prohibition, they would equip investors with risk management tools and empower people with a head start on web3. The Malaysian Securities Authority has started establishing a clear regulatory framework and requirements for participants to manage risks in the volatile cryptocurrency industry. Mr. Ravi Menon, managing director of the Monetary Authority of Singapore (MAS), said, “We believe the prudent course of action is to refrain from clamping down on or prohibiting these activities.
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