Singapore-based blockchain infrastructure startup Marketnode has secured funding from European clearinghouse giant Euroclear to expand services in the Asia-Pacific region.
Marketnode, a blockchain infrastructure startup based in Singapore, has announced a strategic investment from European clearinghouse Euroclear, aimed at expanding its services across the Asia-Pacific region.
In a blog announcement on Oct. 17, the Singapore-based startup, which specializes in blockchain-based financial infrastructure and tokenization asset management, highlighted that the funding aligns with Euroclear’s global funds strategy. While the specific financial details of the investment were not disclosed, the partnership is expected to enhance Euroclear’s one-stop-shop fund offering in the region, the announcement reads.
Marketnode chief executive Rehan Ahmed commenting on the funding said the investment “will catalyze the growth of Marketnode’s platforms,” adding that the firm is looking forward to building the “next generation of financial market infrastructure out of Asia, working together with Euroclear, HSBC, Temasek and our clients to realize our mission and vision.”
Euroclear has previously ventured into blockchain technology, having partnered with the World Bank to launch a tokenized securities issuance service, which included a €100 million digital bond issuance.
Founded by SGX Group and Temasek in 2021, Marketnode serves as Asia-Pacific’s distributed ledger-powered financial market infrastructure. The startup offers a platform that includes issuance, data, workflow, and tokenization capabilities, as well as blockchain-based fund settlement infrastructure. In May, Marketnode closed its Series A investment round led by HSBC alongside contributions from existing shareholder Temasek to scale its platform in an effort to develop a multi-asset ecosystem.
TOKEN2049 has ended in Singapore. Here are three highlights from one of the most anticipated crypto conferences of the year.
One of the largest industry conferences, TOKEN2049, was held from Sept. 18 to 19 in Singapore. It brought together leading figures in the crypto space, who shared their thoughts on trends, developments and priorities for the industry.
What will the crypto industry be like in three years?
One of the highlights of the event was a panel entitled “The Next 3 Years in Crypto,” during which several leaders of major crypto projects discussed where the industry is heading in the near term. Stablecoin issuer Circle‘s CEO Jeremy Allaire, top crypto exchange OKX‘s founder and CEO Star Xu, and Ethereum co-founder Vitalik Buterin participated in the panel discussion and spoke about the digital asset sector’s future, sharing stories from their past experience as long-time participants and leaders in the space.
Self-custody is key
During the panel, OKX’s Xu noted the importance of self-custody technologies for storing cryptocurrency, given their relatively high level of security. However, he also pointed out that promoting self-custody in the crypto industry — meaning holding your crypto yourself instead of using a third-party, like an exchange — does not imply that there is no need to regulate the space.
Speaking about the future of digital assets, Xu noted that over the past ten years, the industry has seen many important technological developments. However, he believes that web3 applications and use cases should be developing even faster.
Less focus on NFTs
Buterin mentioned that one of the main advantages of digital assets is their international, borderless nature. He reiterated the notion that the industry has the potential to meet the needs of people globally who do not have access to the traditional financial system.
He also pointed out the need for practical use cases to drive the mass adoption of digital assets. Buterin called for less focus on expensive NFTs, arguing that they have no real benefits for the industry or for humanity.
The co-founder of Ethereum also said that he believes that improving security in the crypto industry should be a major focus, alongside trying to reduce transaction fees.
Vitalik comments on the accessibility of crypto and sings a crypto song
Buterin also touched on topics such as the accessibility of cryptocurrencies, their use as a means of payment, and security in the ecosystem as a whole.
He argued that it’s no longer valid to say that it’s too early for more widespread adoption of crypto. He compared the extremely limited awareness and adoption of Bitcoin (BTC) in 2013 with the situation just eight years later, in 2021, when a cup of coffee could be bought for Ethereum (ETH) in Argentina.
In between talking about the future of blockchain and cryptocurrencies, he also sang a song about crypto:
And then an improved version of Buterin’s song appeared on social media:
Remix of Vitalik Buterin’s song at Token2049 in Singapore | Source: Lil Bubble
Arthur Hayes predicts market reaction to Fed rate cuts
Also on the first day of the event, the co-founder of derivatives exchange BitMEX, Arthur Hayes, gave a keynote speech with the title “Thoughts on Macroeconomics Current Events.”
Speaking the same day that the U.S. Federal Reserve was expected to announce very anticipated interest rate cuts — which indeed happened later that day — Hayes predicted that the cuts would cause the markets to drop in the short-term:
“I think that the Fed is making a colossal mistake cutting rates at a time when the U.S. government is printing and spending as much money as they ever have in peacetime.”
Hayes noted that the lower interest rates in the U.S. could trigger a market drop in part because of — again — fears around the unwinding of the yen carry trade. Lower interest rates from the Fed, coupled with recently rising rates from the Bank of Japan, lessen the gap between rates in the U.S. and Japan, making the yen carry trade less profitable.
The yen carry trade refers to when investors borrow yen at historically very low rates, convert it into currencies with higher-yield assets, like Treasury Bills in the U.S., and then invest in those assets. Last month, one of the driving factors behind global markets plummeting was the potential unwinding of the yen carry trade.
However, since the U.S. Fed announced a 0.5% cut in interest rates, Bitcoin has gained almost 7%.
The next TOKEN2049 event — which promises to feature 200+ speakers — is scheduled to take place this spring in Dubai.
BingX has temporarily suspended withdrawals following a suspected hacker attack on its hot wallet, with blockchain analysts estimating losses exceeding $40 million.
Singapore-headquartered crypto exchange BingX has paused withdrawals after detecting a suspected hacker attack on its hot wallet, with blockchain analysts estimating losses surpassing tens of millions of dollars.
In an X post on Sept. 20, BingX’s chief product officer Vivien Lin said that the breach occurred at around 4 a.m. Singapore time on Sept 20, prompting the company to launch an “emergency plan.”
At around 4am 20 Sep Singapore time, our technical team detected abnormal network access, suspecting a hacker attack on BingX’s hot wallet. We immediately started our emergency plan, including the urgent transfer of assets and withdraw suspension. There has been minor asset loss,…
Per Lin, the exchange transferred its assets to secure locations, adding that the loss is still being calculated but reassured users that most assets are stored in cold wallets, which were not impacted by the attack. While the exact scale of the hack was not revealed, Lin says there was a “minor asset loss.”
“There has been minor asset loss, but the amount is small and still being calculated.”
Vivien Lin
Blockchain forensic firm PeckShield, however, suggested that the breach may be more significant, estimating that roughly $26.68 million in assets, including Ethereum (ETH) and Binance Coin (BNB), had already been moved by the hacker. An additional $16.5 million was reportedly drained from the platform soon after. Analysts traced the stolen funds to two wallet addresses and estimate the total loss to be over $43 million.
Lin emphasized that BingX would “fully compensate” for any losses using its own capital and expects withdrawals to resume within 24 hours. The company stressed that trading services are functioning as usual and that user funds remain secure under its layered asset management system.
Singaporean regulators have no plans to allow cryptocurrency use for gambling due to the risks of money laundering.
During a Sept. 10 parliamentary address, Ms Sun Xueling, Minister of State for the Ministry of Home Affairs and Ministry of Social and Family Development, clarified Singapore’s regulatory stance on using cryptocurrencies in casino gambling. The minister’s remarks were made during the wrap-up speech for the Second Reading of the Casino Control (Amendment) Bill.
Introduced on July 4, 2024, the bill aims to future-proof the framework governing casino gambling activities in Singapore, while giving the Gambling Regulatory Authority the power to prescribe any wagering instrument as chips for casino gambling.
However, the minister has stressed that cryptocurrencies will not be part of this expanded scope.
While the amendments to Singapore’s Casino Control Act were promoted as a step toward “future-proofing the regime” and establishing a framework for “cashless gambling,” the Minister of State firmly ruled out the use of cryptocurrencies citing money laundering concerns.
“GRA has no intention of allowing cryptocurrency to be used as chips for casino gambling as this presents money laundering risks.“
Ms Sun Xueling, Minister of State for the Ministry of Home Affairs
Singapore’s exclusion of cryptocurrencies from its casino operations aligns with a growing recognition of the risks they pose in the realm of money laundering.
According to a January 2024 report by the UN Office on Drugs and Crime, cryptocurrencies and casinos have increasingly become tools for laundering illicit funds, with criminal networks exploiting the anonymity and lack of regulation associated with digital currencies to obscure the origins of illicit funds, using online casinos as conduits.
“Organized crime groups have converged where they see vulnerabilities, and casinos and crypto have proven the point of least resistance.”
Jeremy Douglas, UNODC Regional Representative for Southeast Asia and the Pacific
A growing trend
Boycotting cryptocurrencies for gambling is part of a broader trend, as seen in Australia, where the government recently banned cryptocurrencies for online betting, including digital wallets and credit-linked cards, to help individuals maintain control over their gambling habits.
Similarly, Brazil has also banned the use of cryptocurrencies for gambling payments in April 2024, targeting digital assets like Bitcoin to enhance transparency and reduce the potential for money laundering.
Nevertheless, the global crypto gambling market tells a different story altogether. As previously reported by crypto.news, the crypto gambling market almost doubled to over $70 billion in the first half of 2024, with projections pointing toward a staggering $150 billion by 2030.
The number of crypto millionaires nearly doubled in 2024, reaching 172,300 as spot Bitcoin ETFs and other crypto assets surged.
The global population of crypto millionaires has surged 95% over the past year, driven by the rise of spot Bitcoin exchange-traded funds and other cryptocurrencies, according to a new research report by New World Wealth and Henley & Partners.
The report reveals that 172,300 individuals worldwide now hold more than $1 million in crypto, nearly doubling from 88,200 in 2023. Data shows that during the same period, the number of Bitcoin (BTC) millionaires more than doubled to 85,400.
Crypto wealth has also expanded significantly, with 325 individuals now classified as crypto centimillionaires —those holding $100 million or more in crypto — and 28 crypto billionaires. The report attributes such a rapid surge to the growth of spot Bitcoin ETFs, which have amassed over $50 billion in assets since their January launch, igniting a surge in institutional participation.
Commenting on the data in an interview for CNBC, New World Wealth’s head of research Andrew Amoils pointed out that of the six new crypto billionaires created in 2023, five owe their wealth to Bitcoin, underscoring its “dominant position when it comes to attracting long-term investors who buy large holdings.”
Investors seeking crypto friendly countries
Crypto is reshaping not just wealth but also the demographics of where the rich live and work. Analysts at Henley & Partners note that many newly wealthy crypto individuals are seeking to relocate to tax-friendly and crypto-friendly jurisdictions, saying they have seen a “significant uptick in crypto-wealthy clients seeking alternative residence and citizenship options.
To rank countries based on their tax and regulatory environments, Henley & Partners developed an index, placing Singapore in the top spot due to its “supportive banking system, significant investment, comprehensive regulations such as the Payment Services Act, regulatory sandboxes, and alignment with global standards.”
Singaporean banking giant DBS has introduced a blockchain-powered solution that uses smart contracts to streamline the disbursement of government grants.
According to a local media report, DBS completed the pilot in collaboration with Enterprise Singapore and the Singapore Fintech Association.
As a part of the pilot, 27 local fintech companies received grants from the SFA using a permissioned blockchain developed by DBS. Perermissioned blockchains are partially decentralized and restrict who can participate in the network. Unlike public blockchains, permissioned blockchains require participants to be pre-approved.
DBS’s permissioned blockchain allows the ESG and the SFA to set the conditions for grant programs and ensures that only approved beneficiaries receive the grants.
Smart contracts verify these pre-determined conditions, and grants are disbursed automatically when the conditions are met. As such, DBS adds that the solution reduces the need for manual intervention and allows beneficiaries to receive cash payouts much faster.
DBS stated that the pilot was conducted to showcase how these programmable grants can improve the transparency and efficiency of grant disbursements.
Han Kwee Juan, country head of DBS Singapore, expects the new solution to be “extended to more use cases, including milestone-based project payments, consumer rewards, and more.”
DBS also plans to explore more applications for the solution with more government agencies as part of Project Orchid. The Monetary Authority of Singapore launched the multi-year digital currency initiative last year to explore various use cases for digital money.
DBS pioneering blockchain innovation
Among other initiatives, DBS recently launched a blockchain-based pilot project in partnership with Ant International to enhance cross-border treasury and liquidity management. The DBS Treasury Tokens project also leverages DBS’s permissioned blockchain to support multi-currency treasury operations for Ant International, the company behind the Alipay+ mobile payment service.
Alongside its tokenization efforts, DBS is also progressing in the cryptocurrency sector. In July, the bank became a custodial partner for Paxos, a stablecoin issuer based in New York. In February, DBS expanded its services to offer crypto solutions to clients in Hong Kong.
Singaporean financial giant DBS has launched a treasury token pilot with Ant International to improve cross-border treasury and liquidity management.
DBS Group has initiated a blockchain-based pilot in collaboration with Ant International in a bid to streamline cross-border treasury and liquidity management.
In an Aug. 13 press release, DBS said that the so-called DBS Treasury Tokens project will leverage its permissioned blockchain — which is compatible with Ethereum‘s EVM — to facilitate multi-currency treasury operations for Ant International, which operates mobile payment service Alipay+.
“This new capability comes at a time when the treasury needs of businesses are evolving to meet the rise of e-commerce and on-demand services on a 24/7 basis.”
Lim Soon Chong, DBS Bank’s group head of global transaction services
Kelvin Li, Ant International’s head of platform technology, noted that the partnership with DBS addresses key challenges, including cost reduction and mitigation of transaction risks in cross-border payments.
The treasury token is expected to enable Ant International, which is an affiliate of Alibaba Group, to optimize its liquidity management across various global markets as DBS says the pilot can reduce the settlement of intra-group transactions “from potentially days to seconds.”
In addition to its tokenization initiatives, DBS is also making strides in the crypto space. In July, the bank became a custodial partner for Paxos, a New York-based stablecoin issuer, while in February, DBS also expanded its services to include crypto offerings for clients in Hong Kong.
Real-world asset startup Zoth has raised $4 million in a strategic round to launch its Tokenized Liquid Note, featuring assets like U.S. Treasury Bills and corporate bonds.
Zoth, a decentralized finance real-world assets startup, has secured a $4 million strategic round to advance its efforts in launching digital versions of traditional fixed-income instruments on the blockchain.
In an Aug. 5 press release shared with crypto.news, the Singapore-headquartered startup said the funding was backed by Taisu Ventures, G20, Fat Cat Ventures, GemHead Capital, and Foundership Ventures, among others.
Zoth CEO Pritam Dutta commented on the funding, stating that the team is trying to build a “one-stop crypto yield layer solution for sustainable yield by harnessing onchain permissioned RWAs and permissionless defi fixed-yield products.” So far, the startup has deployed $13 million in private credit, with over $100 million originated and $200 million in the pipeline, the press release reads.
Crypto business bets on RWA
Founded in 2023 by Pritam Dutta and Koushik Bhargav, Zoth aims to become a chain-agnostic crypto yield layer, providing institutional and accredited investors with easy access to secure and sustainable fixed-income yield products onchain.
In addition to the latest funding, the startup earlier also raised $2.5 million in a seed round led by Blockchain Founders Fund alongside other backers such as Borderless Capital, Mindfulness Capital, YAP Capital, Singularity DAO, and Wormhole. In June, Ripple’s XRPL Accelerator included Zoth in its list of 18 startups to help them scale their projects on the XRP Ledger.
Beyond Ripple, Zoth has also collaborated with other partners such as Chainlink, Celo, XDC, and Funfair Ventures to bridge liquidity across traditional finance and defi.
Crypto custodian Hex Trust has been granted in-principle approval from the Monetary Authority of Singapore.
According to a release shared with crypto.news, the license will let Hex Trust offer services related to regulated Digital Payment Tokens. This includes over-the-counter trading alongside custodial services.
Calvin Shen, managing director at Hex Trust, said the new license would help “safeguard and optimize the digital assets of [their] institutional clients with regulatory clarity.”
The crypto custodian initially set up an office in the region in 2020. Subsequently, it secured a Capital Market Services license to offer custody services in 2021.
However, in April 2024, the MAS introduced amendments to the licensing regime, which brought services related to DPTs under the purview of the Payment Services Act.
The firm had to qualify for “rigorous regulatory standards” implemented by the Singaporean regulator to be eligible for the MPI license, according to Alessio Quaglini, Co-Founder and CEO of Hex Trust Group.
Previously, Hex Trust had secured a virtual asset service provider license in Dubai back in November of 2023. The firm offers various regulated services related to virtual assets, such as staking.
In addition to the aforementioned jurisdictions, Hex Trust is also licensed to operate in Hong Kong, Vietnam, Italy, and France.
After raising $88 million in its Series B funding round in 2022, the crypto services platform has disclosed its intentions to raise additional funds in 2024. To date, the firm has raised a total of $104 million with backing from 37 investors, including names like Ripple and Animoca Brands.
