Diginex launches crypto derivatives exchange in Singapore ahead of NASDAQ listing

Blockchain financial services and technology company, Diginex has launched a crypto derivatives exchange in Singapore, one of the digital currency-friendly countries. The new exchange is hoped to offer more complex products aside from the common ones. The development follows the company’s plan to go public through NASDAQ listing in mid-September.

EQUOS.io crypto derivatives exchange launches in Singapore

Noteworthily, Diginex operated most of its services from Hong Kong, where it is based. However, due to the crypto-friendly regulatory environment in Singapore, it preferred to launch EQUOS.io there. Reuters reported the development on Thursday.

Richard Byworth, Chief Executive at Diginex, opined that regulations in Singapore were more flexible and clear, unlike Hong Kong. He added that “Singapore was a bit more flexible in the way that they were thinking about things.” Also, Singapore is less prescriptive about the operating model of crypto companies, although they are required to obtain a license. 

Hong Kong doesn’t fancy crypto derivatives exchanges

The report also informed the stance of Hong Kong’s regulator for trading derivatives products. Last year, the country launched an opt-in licensing regime for exchanges, a rule that doesn’t support the trading of cryptocurrency derivatives. More so, the country’s top markets regulator had warned that futures contracts might be illegal. 

Moving forward, EQUOS.io is expected to launch more complex cryptocurrency products, besides offering Spots products. While commenting on the launch of the crypto derivatives exchange, Byworth added:

On the more interesting edge of (cryptocurrency)derivatives, we have seen a more limited product set to come to market because we are constrained by the infrastructure.

Byworth hopes that the new exchange would plug these infrastructure gaps. Meanwhile, the launching of the crypto derivatives exchange today comes ahead of Diginex moves to go public through NASDAQ in a $300 million reverse merger with special acquisition vehicle 8i Enterprises.

Reportedly, it has received SEC’s approval for the listing, which is expected to hold in mid-September.