The project will build a corridor between Europe and Asia: SBI Holdings CEO
Japanese banking giant SBI Holdings fully owned subsidiary SBI Digital Asset Holdings announced earlier today that it will be collaborating with Swiss digital exchange SIX (SDX) on a joint crypto venture in Singapore.
The partnership is aimed at establishing a reliable regional liquidity hub for institutions through a crypto issuance company. The company will offer a variety of services including issuing, trading and storing digital assets for investors, the press release stated.
SDX’s experience in operating trading and settlement agency services for digital assets in Europe coupled with its reputation as a member of the SIX Group is expected to be crucial for the success of the partnership.
It will enable the crypto venture to not only manage digital assets but also undertake tokenization of existing securities and other assets including such as digital bonds, digital equities and digital securitized loans.
SBI Holdings CEO Yoshitaka Kitao stated that the partnership is an important step in building the necessary global infrastructure for widespread institutional adoption of digital assets:
“Together with SDX‘s strength in Switzerland and our planned digital exchange in Osaka, this venture will establish a powerful institutional corridor between Europe and Asia.”
The venture is set to address the growing demand for digital asset investments as a mechanism to diversify institutional portfolios in the Asia-Pacific. It is expected to focus its services towards regulated institutions in the region, the press release stated:
“The newly established joint venture aims to directly meet the demands of institutional investors for digital assets such as digital securities and crypto assets, and brings together the technologies and know-how possessed by both the Company and SDX in Singapore.”
The project is waiting for clearance from the Monetary Authority of Singapore (MAS) and is likely to formalize its operations by the end of 2021. The joint venture will start offering its services by early 2022.