Renowned Singapore cryptocurrency exchange SGX has launched two new Bitcoin and Ethereum futures products to promote global cryptocurrency adoption. The exchange confirmed this development in a Monday blog post.
In the post, Singapore SGX stated that with this launch, it aims to meet increasing institutional crypto demand. Additionally, these new products will allow investors to speculate on the spot price of the underlying assets without an expiration date.
SGX announced that the perpetual contracts will go live for trading on November 24th. As part of the most actively traded crypto derivatives worldwide, these contracts could become a major new revenue stream for the exchange.
The contracts also permit accredited and expert investors to gain exposure to the underlying assets without an expiration date. Meanwhile, the offering will be regulated by the Monetary Authority of Singapore (MAS).
SGX president reacts
Michael Syn, SGX president while reacting to the launch in an interview noted that digital assets have made their way into institutional investors’ portfolios. He adds that SGX has taken the next logical and deliberate step, applying the same institutional discipline that underpins global markets to crypto’s most traded payoff.
It’s worth noting that this development marks the second instance of Bitcoin and Ether-based perpetual futures trading in Singapore. EDXM Internet rolled out its first offering on July 23, which included a total of 44 trading products such as Solana SOL and XRP.
Over the years, Singapore has taken a cautious approach to regulation as it continues to develop its digital asset framework. In 2022, the country passed the Financial Services and Markets Act (FSM) bill, which grants the Monetary Authority of Singapore (MAS) greater authority to oversee crypto firms operating outside Singapore but based within the country.
Initially, the MAS had set June 30th as the deadline for local crypto service providers to stop offering digital token (DT) services to overseas markets. According to the MAS, Singapore-incorporated companies or individuals offering DT services outside the country had to cease operations or obtain license. This also came with a fine of up to $200,000 Singapore dollar and up to three years of imprisonment.
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