CEX.IO has always been taking regulatory aspect very seriously. We’re working to obtain licenses and register in various jurisdictions to assure our clients that we hold ourselves accountable under the authority of regulatory controls.
Now, we’re glad to announce that CEX.IO applies for a regulated crypto license with the Monetary Authority of Singapore (MAS) to start its expansion to the Asian market.
Perspectives of Asian Market Expansion
Despite some early regulatory crackdowns on cryptocurrencies, the Asian continent has seen increased demand for digital assets. Moreover, there was a significant increase in blockchain business activities in recent years. In Q2 2018, Asia was ranked as the third-largest market for cryptocurrencies. It accounted for 18.2% of worldwide digital asset usage. According to CoinGecko’s 2019 report, the Asia Pacific region had by far the largest share in normalized digital asset trading volume (58%). Also, it represented 40% of the newly registered exchanges.
With a regulated crypto license at Singapore’s MAS, CEX.IO aims to establish a strong presence in the fast-growing Asian digital asset market. The expansion allows CEX.IO to pursue its long-term business strategy to become a truly global cryptocurrency exchange for both retail and institutional clients.
We currently have a solid presence in the USA with a growing number of Money Transmitter Licenses under our belt. We have our head offices in the United Kingdom, in the USA, and now we will have an office and on-the-ground presence in Singapore. Asia is one of the biggest markets for retail customers. We believe Singapore is a great location to be based in Asia at this point to serve our institutional client base. This expansion will allow CEX.IO to continue speeding up our growth to become one of the industry’s five key players very soon.
We’re excited to have Richard Carrick joining our team to help us in the Asian market expansion. Richard is a professional who will leverage his vast experience in the traditional financial and cryptocurrency markets to head our Regional Office in Singapore. Before CEX.IO, Richard Carrick worked as the APAC Regional Head of Financial Crime Assurance at Barclays Bank. He gathered deep insights into the compliance policies, processes, and controls. The aim of it was to detect and mitigate financial crime-related risks to a major financial institution as well as ensuring that regulatory requirements were met. Carrick was exposed to the crypto market while he was chairing the Financial Crime Intelligence Forum banking industry group. There, he set up a special focus group on digital assets.
What will registration with MAS bring?
The Regional Office will support the growth and development of an Asia retail and institutional client base. It will also be providing additional Asian market product offerings for CEX.IO’s global user base. Singapore is one of the most prominent global centres for international trade and wealth management. It provides excellent product development opportunities for a broader range of customer segments. There is a great opportunity for innovation that is enhanced by the supportive environment provided by the Singapore government and regulatory authorities.
Successful registration with Singapore’s MAS will grant CEX.IO a Payment Service Provider License. It will allow us to carry out digital payment token services. CEX.IO will offer the same services in Asia as in other markets the cryptocurrency exchange is present, such as fiat deposits and withdrawals, as well as crypto-to-crypto and fiat-to-crypto exchanges. A MAS license will provide additional layers of protection for Singapore users, including holding all fiat funds in client segregated accounts at local banks.
We believe that Singapore will form the third pillar of our business and allow CEX.IO to become a truly global corporation bringing the regulated service to the customers worldwide.