DBS, the largest bank in Southeast Asia, has announced record-breaking bitcoin and ether trading volumes on its digital asset exchange in 2022. The bank’s crypto exchange platform saw a surge in bitcoin trading volume of almost 80% YoY and a 65% YoY increase in ether trading volume. The bank also revealed that the number of bitcoin and ether custodised with DBS was up more than 100% and 60% respectively.
Lionel Lim, the chief executive of DBS Digital Exchange, explained that the bank believes the market has shifted its focus towards trust and stability in the wake of numerous scandals that have rocked the industry. DBS Digital Exchange was launched in December 2020 as a members-only exchange for institutional and accredited investors, and in September 2021, the bank introduced self-directed crypto trading via its DBS Digibank app.
DBS Digital Exchange currently offers spot trading of six cryptocurrencies, including BTC, ETH, BCH, XRP, DOT, and ADA. The bank’s customer base doubled in 2022 from the previous year, and at the end of December, the exchange had close to 1,200 registered participants. DBS Digital Exchange is regulated and backed by the DBS Group, offering unique advantages that investors appreciate as they seek reliable gateways to access the digital asset economy.
DBS bank did not observe any significant sell-offs in cryptocurrencies on its platform last year despite the crypto winter and several major firms in the space filing for bankruptcy, including crypto exchange FTX. The bank added that its exchange’s customers had a net-buy position throughout the second half of 2022.
Lionel Lim added that the bank had taken a measured approach to developing its digital asset ecosystem, choosing to keep pace with the market as it matures and as investors become more sophisticated. As a result, DBS Digital Exchange’s continued strength reflects the market’s focus on stability, security and trust in a tumultuous industry.
DBS announced plans last week to expand its crypto services to customers in Hong Kong, intending to apply for a digital asset license as the city strives to become a crypto hub. The bank’s move comes as Hong Kong’s Securities and Futures Commission prepares to roll out a regulatory framework to oversee digital asset trading platforms.
DBS’s record-breaking trading volume on its digital asset exchange highlights a growing trend towards institutional adoption of cryptocurrencies. With major financial institutions, including banks, now entering the crypto market, it’s likely that the trend will continue to grow, providing a strong foundation for the future of the industry.
