Two Bitcoin funds launched in Singapore by MAS-regulated fund manager

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Fintonia Group, a Singapore-based fund manager regulated by the Monetary Authority of Singapore (MAS), has launched two institution-grade Bitcoin (BTC) funds.

The new funds, the Fintonia Bitcoin Physical Fund and the Fintonia Secured Yield Fund, aim to provide simple and secure exposure to Bitcoin for professional investors, Fintonia announced Thursday.

“The funds are live and investors can subscribe and redeem regularly because they are unsecured funds, similar to a mutual fund. The funds are only available to accredited investors,” Fintonia founder and president Adrian Chng told Cointelegraph.

The Fintonia Bitcoin Physical Fund targets institutional investors seeking direct exposure to Bitcoin, allowing them to buy, store and sell large amounts of the cryptocurrency. “The fund acquires physical Bitcoin, which means we will buy the real Bitcoin rather than a derivative instrument on Bitcoin,” Chng reportedly said. said.

The Fintonia Secured Yield Fund, on the other hand, provides investors with access to private loans secured by Bitcoin. “Bitcoin is a great form of collateral for loans. It trades 24/7 and is highly liquid, with about $ 30 billion to $ 60 billion a day. If necessary, it can be quickly liquidated compared to, for example, goods and real assets.” Chng notes.

Both funds rely on a third-party licensed custodian storing customers ’cryptocurrencies on cold wallets. Investments are also insured against theft and hacking, the company said.

Fintonia aims to reduce crypto-to-fiat friction as a MAS-regulated foundation manager that complies with Know Your Customer and Anti-Money Laundering requirements. “These unclosed funds provide professional investors with a recognized legal and regulatory structure, similar to that of a typical mutual fund,” the announcement reads.

Fintonia Group is a regulated financial services company founded in 2014 with a focus on fintech. Chng says Fintonia has been engaged in cryptocurrency since the early days and now specifically focuses on cryptocurrency because it has “evolved into a separate value class.”

MAS did not immediately respond to Cointelegraph’s request for comment.

Related: Singapore to position itself as a global crypto center, says regulator

The news further reaffirms Singapore’s commitment to becoming a central global cryptocurrency hub as local regulators have issued multiple licenses to legalize cryptocurrency trading in the country. According to MAS managing director Ravi Menon, Singapore is developing “very strong regulation” to strengthen its position as the world’s crypto center.

Disclaimer: This article has been updated to reflect that Fintonia Group is regulated by Singapore’s Monetary Authority, rather than the funds themselves.