DBS has become the first bank to launch on a new digital asset trading platform created by Singapore Exchange’s MaxxTrader.
MaxxTrader, a subsidiary of SGX, provides foreign exchange pricing and risk services to over 100 global and regional banks, broker-dealers, and hedge funds. With the introduction of its MaxxDigital offering, the company is expanding into the cryptocurrency space. This platform allows users to price, trade, and distribute various cash or tokenized digital assets and includes features for over-the-counter (OTC) and foreign exchange (FX) execution, as well as workflows for streaming, Request for Stream, and Request for Quote.
Manish Kedia, CEO of MaxxTrader, commented on the launch, stating, “There is currently a large gap in the digital assets trading market for a robust, functionality-rich trading solution, and we believe that MaxxDigital can fill this critical gap.”
Jacky Tai, Managing Director and group head of trading and structuring at DBS, remarked, “Partnering with MaxxTrader and leveraging their expertise enhances our digital asset trading offering and allows us to extend trading hours, even over weekends, without additional backend resource commitments.”
In addition, DBS has partnered with Open Government Products (OGP) to initiate a live pilot program that issues purpose-bound money-based vouchers (PBM vouchers) using tokenized SGD. This initiative aims to facilitate real-world transactions with selected merchants, giving senders the ability to set conditions, such as validity periods and specific types of shops, for digital SGD transfers.
The pilot will involve up to 1,000 selected consumers and six merchants. This initiative is part of Project Orchid, which is an industry effort led by the Monetary Authority of Singapore (MAS) to build the technological infrastructure necessary for a programmable digital Singapore dollar (DSGD).
Although MAS has determined that the case for a retail Central Bank Digital Currency (CBDC) in Singapore is not compelling at this time, it continues to explore valid use cases for digital currencies. Project Orchid aims to develop the technical competencies that MAS may need for a future retail CBDC.