Hex Trust Secures MAS License Amid Rising Crypto Demand in Singapore

Hex Trust, a prominent crypto custodian, has received in-principle approval from the Monetary Authority of Singapore (MAS) to offer its services in the city-state. This regulatory green light will enable Hex Trust to provide a range of services related to regulated Digital Payment Tokens (DPTs), including over-the-counter trading and custodial services.

Growing Institutional Demand for Compliant Digital Asset Management

The demand for compliant digital asset management solutions among institutional clients in Singapore has been on the rise. Hex Trust’s managing director, Calvin Shen, emphasized that the new license would allow the firm to “safeguard and optimize the digital assets of our institutional clients with regulatory clarity.”

This approval marks a significant milestone for Hex Trust, which established its presence in Singapore in 2020 and secured a Capital Market Services license for custody services in 2021.

Adapting to New Regulatory Standards

In April 2024, the MAS implemented changes to the licensing regime, bringing services related to DPTs under the Payment Services Act. Alessio Quaglini, Co-Founder and CEO of Hex Trust Group, noted that the firm had to meet rigorous regulatory standards to qualify for the new MPI license. This achievement follows Hex Trust’s acquisition of a virtual asset service provider license in Dubai in November 2023, expanding its regulated services portfolio.

Hex Trust Expansion and Future Funding Plans

Hex Trust operates under licenses in multiple jurisdictions, including Hong Kong, Vietnam, Italy, and France. The firm raised $88 million in its Series B funding round in 2022 and plans to raise additional funds in 2024. To date, Hex Trust has raised a total of $104 million, backed by 37 investors, including Ripple and Animoca Brands. On July 9, Hex Trust announced a partnership with blockchain developer Monad Labs, aiming to extend its services to the layer-1 blockchain.

Also Read: Crypto Regulation: Singapore Implements Stringent Guidelines