In a first for Malaysia, the Fusang Group has been awarded a licence by the Labuan Financial Services. This licence permits the Fusang Exchange to legally offer and trade digital securities. In addition to this new ability, Fusan will be able to offer their clients access to fiat and cryptocurrencies, as well.
The approval marks the continuing trend, being seen in Asian markets, towards the acceptance of this medium. What sets Fusang apart from other offerings is the nature of their licencing. For example, most exchanges hold a broker/dealer licence. This allows for these exchanges to trade securities which have only been listed elsewhere. By holding a full Securities Exchange licence, Fusang has the ability to act as a gateway, and list digital securities for the first time.
It is expected that a full platform launch, offering digital securities, will take place in the latter half of 2019.
In their press release, CEO of Fusang Exchange, Henry Chong, spoke about this development, and what it means for the company moving forward.
“We’re honoured to be working with the Labuan Financial Services Authority and taking the market into the digital asset era. We’ve always seen Labuan as a fantastic option for businesses to work in, and this licence reiterates Labuan FSA’s dedication to making Labuan a pro-business environment. We look forward to working with them to bring a whole new range of companies and industries into the digital asset space.”
“With higher costs, it’s natural that the focus of traditional exchanges has always been on larger companies…But companies that want liquidity in their stock, along with owners of real assets such as real estate, can consider the benefits of listing on our exchange. While we’re working on the infrastructure of the exchange, we’re also focusing on how we can develop innovative business models and capital raisings for issuers.”
The Fusang Exchange is a subsidiary of the Fusang Group. The company was founded in 2015, with headquarters based in Hong Kong.
Since launch, the company has seen expansion with offices in Malaysia and Singapore. This expansion, and continued development of services, has occurred under the watch of CEO, Henry Chong.
Lubuan Financial Securities Authority
The Lubuan FSA is the Malaysian regulatory body tasked with enforcing a variety of financial Acts within the nation. Falling under their purview is the ‘Financial Services and Securities Act’ – which directly applies to the Fusang Exchange. (You say both the… as though there’s a second thing to mention)
In Other Words
The approval of Fusang Group demonstrates the continuing acceptance of digital securities in Asian markets. Here are a couple of articles outlining other instances of Asian influence within the market from recent months.