Binance – the global cryptocurrency exchange that in the last 24 hours has facilitated more than $2 billion in trading volume, has just announced that is has launched a Fiat-to-Crypto gateway for citizens based in Singapore.
The platform, which it calls Binance Singapore, will enable users to purchase and sell cryptocurrencies in exchange for the nation’s native fiat currency – the Singapore Dollar.
This will be the third fiat-to-cryptocurrency venture that Binance has launched this year, alongside Binance Jersey (GBP and EUR) and Binance Uganda (UGX).
How Will the Fiat Facility Work?
The Binance Singapore platform will be available to Singapore residents, or Singapore citizens living overseas. While it is likely that the fiat channel will extend to more cryptocurrency pairs in the near future, Binance state that initially, only a select number of digital assets will be supported. At the time of writing, this includes Bitcoin, Ethereum, and the platform’s native token – BNB.
In order to deposit and withdraw funds with Singapore Dollars, users will be required to go through Singapore FAST. Launched in 2014, Singapore FAST is a hugely popular payment method that allows locals to execute near-instant bank-to-bank transfers.
Much like in the case of Binance’s fiat operations in Jersey and Uganda, Singapore users will be required to engage in a standard KYC process. As such, traders will first need to upload a copy of their government-issued ID, as well as a proof of address. This ensures that Binance Singapore remains fully compliant with domestic and international anti-money laundering regulations.
As the exchange operates 24/7, users will be able to deposit and withdraw funds around the clock.
Singapore Demonstrates it’s Appetite for Blockchain
Singapore – a country that is often synonymous with low-tax, business-friendliness, and innovators of cutting edge technology, is arguably up there with some of the most crypto-friendly nations in the world. In fact, it was only reported yesterday that the Singaporean government is considering excluding goods and services tax (GST) from cryptocurrency transactions.
In terms of the exchange itself, although the platform only initiated a soft launch in April, it is already experiencing week-on-week growth of 20%, with trading volumes following suit.
Now that the platform enables the buying and selling of cryptocurrencies with local currency, it is likely that user acquisition rates will continue to grow at an alarming pace. Furthermore, on top of the platform’s global reputation as a legitimate and compliant third-party exchange, Binance offers cryptocurrency traders the lowest trading fees in Singapore.
This is further supported by Binance’s partnership with local FinTech startup Xfers. The Singapore-based company not only assists with customer onboarding, but its underlying technology enables high transaction volumes.
Forming Local Partnerships is key
On top of the platform’s partnership with Xfers, Binance has also formed a notable relationship with Vertex Ventures.The venture capital firm invests in high-growth startups throughout Asia, with a specific focus on India, Indonesia, Thailand, and Singapore.
According to Binance CEO Changpeng Zhao (CZ),
Changpeng Zhao “Vertex has been a key driver of engaging the Singapore community through its trusted work with local regulators and financial institutions.”
CZ continued to add that “Their [Vertex] global track record of managing an innovative technology portfolio and taking all the proper measures also showcases their ability to sustainably grow Singapore’s broader blockchain ecosystem.”