On Friday, the Swiss Financial Market Supervisory Authority (FINMA) gave the green light to crypto exchange SIX Digital Exchange (SDX). It is now an official central securities depository for cryptocurrencies.
With this license, SDX is able to offer high-quality regulation and supervision according to Swiss standards. The company promised investors to create a secure digital ecosystem for all crypto transactions in the country.
SIX Digital Exchange chief executive Thomas Zeeb said:
This is an important milestone in providing institutional investors with a secure and robust [crypto] infrastructure.
FINMA’s approval means SDX can now operate custody infrastructure, settlement and regulated trading. All of this is based on blockchain technology with an irreversible list of all crypto transactions within the system.
Groundbreaking move for SDX
The regulatory approval is a landmark victory for crypto enthusiasts. They are still excited about the recognition of Bitcoin as legal tender in El Salvador.
The growing acceptance of cryptocurrencies by major financial companies – including PayPal, Square and MasterCard – is also music to the ears of digital market fans.
SIX Digital Exchange is one of the first major exchanges in the country. It deals exclusively with cryptocurrencies. This groundbreaking move was long awaited.
In 2018, SDX set out to build a fully integrated Swiss digital exchange. Now, that dream has come true.
In the coming months, SDX plans to improve its technological systems. The firm wants to be able to offer better services to clients. It also plans to have a global liquidity network for digital assets. In this, stakeholders and other financial players will be included.
The company wants to roll out its exchange network globally
In the process, SDX hopes to attract major investors to the platform. These include institutional investors, insurance companies and banks. The firm also hopes to roll out its digital exchange globally.
FINMA’s green light underpins SDX’s financial principles. VIt may be that the company will provide blockchain securities even before the New York Stock Exchange.
Once operational, SIX Digital Exchange plans to offer stocks and bonds as digital tokens. Currently, the company is keeping mum on when it will launch the new products.
In other words, SDX wants to offer regulated alternatives to cryptocurrencies that operate outside of established rules. Unfortunately, the Swiss exchange doesn’t want to support bitcoin and some other cryptocurrencies for now.
Recently, the world’s leading crypto exchange Binance came under intense regulatory scrutiny. Authorities around the world are currently trying to crack down on the crypto industry.