DBS today reported that the value of digital payment tokens traded on DBS Digital Exchange (DDEx) in the first five months of this year has nearly tripled in Singapore dollar terms, compared to the same period in 2023. In addition, the number of active trading clients on DDEx grew 36%, while digital assets custodised with DBS surged over 80% in Singapore dollar terms.

This outperformance was driven by a net inflow of deposits from new and existing clients seeking safe-haven bank-grade platforms to custodise and trade digital assets, and comes against the backdrop of an approximately 50% growth in the market capitalisation of all cryptocurrencies in the market during the same period^[1]. DBS adopts the industry best practice of custodising its clients’ digital assets within the bank using institutional-grade cold wallets, separate from the exchange.

Lim Wee Kian, CEO of DDEx, said: “Professional investors are increasingly viewing digital assets as a legitimate part of their alternative portfolios. They require platforms that provide them complete safety of their assets, seamless access to an entire ecosystem of digital asset services, and the ability to manage digital asset and traditional portfolios side-by-side. Our strong growth underscores our clients’ recognition that DBS offers these value propositions.”

“We remain committed to expanding the suite of products for professional investors entering this asset class. To that end, we are studying listing stablecoins on our exchange and studying how to enable clients to earn rewards through Ethereum staking. We also continue to evaluate suitable security token offering opportunities,” Lim added.

DDEx was launched in December 2020 to bridge a gap in the market for Institutional and Accredited Investors to tap into a fully integrated tokenisation, trading and custody ecosystem for digital assets. It is the world’s first full-service digital asset exchange backed by a bank.

DBS was recently selected by blockchain and tokenisation infrastructure platform Paxos as its primary banking partner for cash management and the custody of stablecoin reserves, marking the bank’s latest initiative in fostering responsible innovation across the digital asset ecosystem.

^[1] 1 January 2024 to 31 May 2024 (Source: Coinmarketcap)

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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 15 consecutive years from 2009 to 2023.

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 businesses for impact: enterprises 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 underserved communities with future-ready skills and helping them to build 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 Digital Exchange's trading value nearly triples in first five months of 2024; active trading clients up 36%