Trading value of the DBS Digital Exchange 2024 will triple

The value of digital payment tokens traded on DBS Bank’s DBS Digital Exchange (DDEx) in the first five months of this year has almost tripled in Singapore dollar terms compared to the same period in 2023, the bank said.

In addition, the number of active trading clients on DDEx increased by 36%, while digital assets under custody at DBS increased by over 80% in Singapore dollar terms.

This outperformance is due to a net inflow of deposits from new and existing customers seeking secure, bank-grade platforms to store and trade digital assets. According to Coinmarketcap, this comes against the backdrop of a growth of around 50% in the market capitalization of all cryptocurrencies on the market over the same period.

The bank uses industry-best practice to store its clients’ digital assets within the bank using institutional-grade cold wallets that are separate from the exchange.

DDEx was launched in December 2020 to fill a gap in the market for institutional and accredited investors, giving them access to a fully integrated ecosystem for tokenization, trading and custody of digital assets. It is the world’s first full-service digital asset exchange, according to DBS, backed by a bank.

“Professional investors increasingly view digital assets as a legitimate part of their alternative portfolios,” says Lim Wee Kian, CEO of DDEx. “They require platforms that offer complete security of their assets, seamless access to an entire ecosystem of digital asset services, and the ability to manage digital assets and traditional portfolios side by side. Our strong growth underscores our clients’ recognition that DBS delivers these value propositions.”