DigiFT, a decentralized exchange for digital assets, has achieved a significant milestone by obtaining a capital markets services (CMS) license from the Monetary Authority of Singapore (MAS). According to a press release issued by the company on Monday, the CMS license enables DigiFT to engage in various capital markets activities, including dealing in securities and units of collective investment schemes through tokens. This license reflects DigiFT’s commitment to facilitating regulated access to financial opportunities on the blockchain.
Recognition by MAS as a Market Operator
In addition to the CMS license, DigiFT has also been recognized by MAS as a market operator. This recognition grants the exchange the ability to operate an organized market for secondary trading of security tokens on the public blockchain. Henry Zhang, founder and CEO of DigiFT, expressed his excitement about this achievement, stating, “Securing both the CMS license and RMO recognition is a significant milestone in our journey to enable regulated access to financial opportunities on-chain. We will continue to unlock innovations in the intersection of finance and blockchain technology, including the tokenization of real-world assets.”
“Securing both the CMS licence and RMO recognition is a significant milestone in our journey to enable regulated access to financial opportunities on-chain.”
– Henry Zhang
DigiFT’s platform, built on the Ethereum blockchain, empowers users with secondary trading liquidity for security tokens through an automatic market-making mechanism. These tokens are backed by real-world assets such as bonds, equities, and collective investment schemes. With the CMS license in place, DigiFT plans to expand its offerings by introducing a wider range of tokenized real-world assets and Web3 assets.
DigiFT in the MAS Fintech Regulatory Sandbox
Established in 2021, DigiFT is the first and only decentralized exchange with an automatic market-making mechanism to be enrolled in the MAS fintech regulatory sandbox. This sandbox provides a controlled environment for innovative fintech companies to test their solutions, fostering advancements in the financial industry. DigiFT’s inclusion in the sandbox demonstrates its commitment to complying with regulatory requirements and ensuring the security and integrity of its platform.
Looking ahead, DigiFT aims to enhance its app’s availability in different regions and improve the user experience by introducing more user-friendly features. As Singapore actively engages with global financial authorities in the realm of digital currencies, DigiFT’s accomplishments contribute to the growth and development of the digital asset ecosystem in the country.
