Binance acquires 18% stake in Singapore-regulated Hg Exchange
Benjamin Cher, The Business Times, 8 December 2021
BINANCE will acquire 18 per cent of Singapore-regulated private securities exchange, Hg Exchange (HGX).
The embattled crypto exchange will acquire the post-money stake, which includes its own investment, via its Singapore arm, Binance Asia Services. This move comes after Binance has mulled leaving the island republic over its regulatory licence limbo.
The acquisition could help with Binance's regulatory hurdles, as HGX was recently granted a recognised market operator licence from the Monetary Authority of Singapore. Other than private companies, HGX is working to list alternative assets such as wine, art and real estate.
"Crypto and traditional financial offerings continue to converge. Through this investment, we seek to work with HGX in enhancing offerings of products and services supported by blockchain technology," said Richard Teng, chief executive, Binance Singapore. Teng was the chairman at HGX before he took over as chief at Binance Singapore in August 2021.
HGX is backed by financial institutions PhillipCapital, Prime Partners and Fundnel.
This acquisition is still subject to regulatory requirements.
"In Singapore, we continue to work closely with key government agencies to support the growth of the blockchain ecosystem and development of requisite local talent needed," said Teng. (amendment note)
Amendment note: An earlier version of this article specified an agency as a key government agency Binance Singapore has worked closely with. Binance has clarified it did not mean to specify any specific government agency.
Comments