Hex Trust gets initial nod for payment institution license in Singapore

Brayden Lindrea4 hours agoHex Trust gets initial nod for payment institution license in SingaporeHex Trust previously obtained a license for custody services in Singapore, but a recent legislative amendment placed these firms under a new licensing scope.684 Total views2 Total sharesListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksDigital asset custodian Hex Trust has announced it has obtained in-principle approval from the Singapore financial regulator for a major payment institution (MPI) license.

The MPI license will allow Hex Trust to offer regulated “Digital Payment Token” services in the city-state, which includes custody and over-the-counter trading, Hex Trust said in its July 24 statement.Source: Hex Trust“[The approval follows a] growing demand amongst institutional clients for sophisticated and compliant digital asset management solutions in a region experiencing rapid fintech development.”

Hex Trust — which set up an office and team in Singapore in 2020 — secured a license to provide custody services in September 2021, but recent amendments to the Payment Services Act brought custody under the amended law’s scope.

Hex Trust CEO Alessio Quaglini noted that it had to pass strict criteria to receive the MPI license from the Monetary Authority of Singapore, known for its “rigorous regulatory standards” that aim to balance innovation and consumer protection.

Digital asset custody firm BitGo received an in-principle approval for an MPI license in January, while blockchain payments firm Ripple Labs received the same approval three months earlier.

Meanwhile, Hex Trust secured an additional Virtual Asset Service Provider license in Dubai in June, permitting its markets business to offer broker-dealer and investment services, including staking.

Cointelegraph reached out to Hex Trust for further information but didn’t receive an immediate response.

Related:Kraken Custody expands to UK and Australia markets

Hex Trust serves banks, asset managers, hedge funds, venture capital firms, pension funds, cryptocurrency exchanges and even central bank digital currency issuers.

It also supports — or has supported — cryptocurrency-native firms, such as AAVE, Algorand, Chainalysis, Polygon and Sandbox.

Hex Trust raised $88 million in its Series B funding round on March 16, 2022, and has also obtained licenses in Hong Kong — where it is based — France and Italy.

Magazine:How to protect your crypto in a volatile market: Bitcoin OGs and experts weigh in# Singapore# Business# Ripple# BitGo# Adoption# Financial Services# Self CustodyAdd reaction