This week, the tokenized securities trading platform iSTOX achieved a monumental milestone after the Monetary Authority of Singapore (MAS) granted the firm permission to begin operations. The news symbolizes a further maturing of the Asian blockchain market, as well as, the official entrance of a major player in the region.
iSTOX receiving the go-ahead from MAS comes after the firm successfully completed the Monetary Authority of Singapore (MAS)’s Fintech Regulatory Sandbox. The company was apart of this unique incubator since May 2019. The decision to add iSTOX came after regulators recognized the group as having strong potential in the market. Importantly, iSTOX conducted its first issuance while in the program in November 2019.
iSTOX Graduates from MAS Regulatory Sandbox
Discussing the important development, Danny Toe, Founder and CEO of ICHX Tech Pte Ltd (ICHX), the Singapore-based operator of the iSTOX platform, spoke on the importance of being the first team licensed as a capital markets services provider. He described the years of work that went into the project. He also took a moment to explain the concept's overall vision to provide a better investing experience for all parties.
Ditch the Outdated Infrastructure
Toe isn't the only person hyped about the progress made to date. Notably, iSTOX Chief Operating Officer Darius Liu chimed in on the milestone. He explained that the traditional markets have been stuck using the same core infrastructure for decades. He described how iSTOX will outperform these outdated business systems while remaining fully compliant.
In the past, Liu has spoken on the need to create open markets that can meet the needs of a global audience. In this manner, the financial markets can receive more liquidity. This open approach, combined with the advantages of tokenization, creates an ideal scenario in the market. Specifically, it enables the expansion of new market opportunities for series B startups, corporate debt, and hedge funds.
iSTOX Graduates from MAS Regulatory Sandbox – Added Transparency
Currently, many of these private market opportunities lack transparency. In addition to the market's opaqueness, transaction delays and the involvement of numerous third parties increase the overall price of transactions. iSTOX believes that it can eliminate these issues.
Additionally, MAS Chief FinTech Officer, Sopnendu Mohanty chimed in on the importance of the iSTOX program to the market. He spoke on the success of the group's sandbox program and its proportional regulatory approach to the market. He also said that MAS looks forward to working with other firms in the future.
iSTOX Graduates from MAS Regulatory Sandbox – Sparks Investor Interests
The iSTOX platform has been at the center of investor interests ever since its conception. The project garnished huge support from Asian investors over the last two years. For example, iSTOX received investment capital from the Singapore Exchange (SGX) and Heliconia in its early funding stages. Following that important campaign, iSTOX managed to secure additional investments from the Thai investment bank Kiatnakin Phatra Financial Group, the Japanese financial services firm Tokai Tokyo Financial Holdings, and the South Korean asset manager Hanwha Asset Management.
iSTOX entered the market with the goal to simplify investing in digitized assets such as tokenized securities. The firm focused on institutional investors and streamlining the issuance, custody and trading services surrounding their market participation. Now, iSTOX is ready to step out of the nest and take flight across the industry. For now, the market awaits iSTOX's next move.