Bitcoin trading volume up 80% at DBS Digital Exchange in 2022; customer base doubles
Singapore, 15 Feb 2023 - DBS today reported an 80% year-on-year growth in the number of Bitcoin (BTC) traded on the DBS Digital Exchange (DDEx) in 2022, and a doubling in the number of BTC custodised with the bank’s digital asset custody solution.
These robust business metrics underscore the trust that investors continue to place in DBS’ digital asset ecosystem in the face of unprecedented volatility in digital asset markets. Investors who believe in the long-term prospects of digital assets are gravitating towards trusted and regulated platforms to access the market, and DBS has been a beneficiary of this flight of safety:
In FY2022, the number of BTC traded on DDEx was close to 80% higher year-on-year, while the number of Ether (ETH) traded on DDEx was nearly 65% higher.
Customers continued to park more digital assets with the bank’s institutional-grade digital custody solution. The number of BTC custodised with DBS as of 31 December 2022 more than doubled from 2021, while the number of ETH custodised grew over 60% in FY2022.
DBS adopts the industry best practice of holding all custodised digital assets separately within the bank itself using institutional-grade cold wallets. DDEx does not hold any custodised assets. DBS also conducts coin purity checks on all digital assets entering its custody, and the bank fully complies with all prevailing Anti-Money Laundering (AML) / Know Your Customer (KYC) standards.
DDEx doubled its customer base in 2022 with close to 1,200 participants registered on the exchange as of 31 December 2022.
Lionel Lim, CEO of the DBS Digital Exchange, said, “Since inception in 2020, we have taken a prudent and measured approach towards developing our digital asset ecosystem, choosing to keep pace with the market as it matures and as investors become more sophisticated. We believe that the market has decisively shifted its focus towards trust and stability especially in the wake of multiple scandals that have rocked the industry. As a regulated digital exchange backed by the DBS Group, we offer many unique advantages that investors have come to appreciate as they seek reliable gateways to access the digital asset economy.”
DDEx continues to be a members-only exchange serving corporate and institutional investors, accredited investors and family offices, who are generally better able to manage the market risks. Consequently, DBS did not observe any major selloffs in 2022, with DDEx observing a nett buy position for its customers throughout the second half of the year.
Commenting on opportunities in the Security Token Offering (STO) space, Lim said, “In 2022, we saw growing interest from our corporate clients and were actively working towards converting a number of enquiries into STOs. However, these were put on hold given the market volatility as well as macroeconomic uncertainty. We will continue to work with these potential issuers as well as explore origination opportunities for high quality STO listings in 2023.”
Despite the market uncertainty, DBS achieved a number of significant milestones for its digital asset ecosystem in 2022:
In September, self-directed cryptocurrency trading was rolled out via DBS digibank, providing accredited investors who bank with DBS seamless access to DDEx’s trading solutions. Today, over 90% of trades by the bank’s wealth clients are executed digitally.
In October, DDEx availed cryptocurrency trading for Polkadot (DOT) and Cardano (ADA), bringing the total number of cryptocurrencies available for spot trading to six – in addition to BTC, ETH, Bitcoin Cash (BCH) and XRP.
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About DBS
DBS is a leading financial services group in Asia with a presence in 19 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.
Recognised for its global leadership, DBS has been named “
World’s Best Bank
” by Global Finance, “
World’s Best Bank
” by Euromoney and “
Global Bank of the Year
” by The Banker. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “
World’s Best Digital Bank
” by Euromoney and the world’s “
Most Innovative in Digital Banking
” by The Banker. In addition, DBS has been accorded the “
Safest Bank in Asia
“ award by Global Finance for 14 consecutive years from 2009 to 2022.
DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets.
DBS is committed to building lasting relationships with customers, as it banks the Asian way. Through the DBS Foundation, the bank creates impact beyond banking by supporting social enterprises: businesses with a double bottom-line of profit and social and/or environmental impact. DBS Foundation also gives back to society in various ways, including equipping communities with future-ready skills and building food resilience.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit
www.dbs.com
.
DBS Bank Ltd | 12 Marina Boulevard, DBS Asia Central @ Marina Bay Financial Centre Tower 3,
Singapore 018982 | Co. Reg. No. 196800306E
Tel: 65.6878 8888 | www.dbs.com
