Crypto Uptick in Asia: Singaporean Wealth Fund Joins Libra, BitGo Custody Comes to India
Facebook’s digital currency project Libra added three major venture funds to its existing investors on May 14; Slow Ventures, Paradigm, and Temasek Investments. On the same day, U.S. custodian firm BitGo partnered with India’s CoinDCX to provide its users with insurance and storage solutions.
Singapore’s Wealth Fund looks to Crypto
Temasek is backed by the Singapore government, signifying the first state-backed entity to join an enterprise digital currency project.
Temasek manages over $313 billion of Singapore’s sovereign fund, overseeing investments in technology, financial services, fuel exploration, transportation from offices in 11 countries. The group is regarded as one of the most influential funds, signaling a positive sign for digital currencies in the near future.
Libra Alliance, the consortium that develops the Libra stablecoin, released an updated white paper and announced a new CEO last week. The move came after the currency faced legal scrutiny in 2019, leading to several companies, such as Mastercard and VISA, leaving its coffers.
As per a press release to The Block, Temasek is set to play a significant role in Libra. The former is said to bring an “Asia-focused” investment approach to digital currency development.
Eastern countries, like China and South Korea, have been particularly progressive with digital currency development. With Temasek’s addition to Libra, a strong period of growth and financial development will usher the next technological boom in Asia.
Dante Disparte, Libra’s head of communication, commented on Temasek’s entry:
“The addition of three new members to the Libra Association shows our commitment to building a diverse group of organizations that will contribute to the governance, technological roadmap, and launch readiness for the Libra payment system.”
However, the move is not Temasek’s first tryst with blockchain. Earlier in 2019, the Singaporean giant partnered with U.S. bank JP Morgan for the development of a blockchain-based payments platform.
BitGo Comes to India
Meanwhile, U.S.-based BitGo is bringing insured crypto accounts to Indian users.
India reeled with regulatory red-tape around cryptocurrencies for the better part of 2017-18, but 2019 saw regulators ease restrictions around digital currency businesses, opening the gates for several partnerships and advancements in the country.
As Finance Magnates reports, CoinDCX has already begun transferring user assets to BitGo since last week. All funds will be protected by the latter’s $100 million insurance policy, which BTCManager reported on in 2019.
BitGo head of revenue Pete Najarian noted:
“With the recent uptick in trading volumes on Indian exchanges, the need of the hour is for professionalization in the form of fund security in the crypto market.”
Since India eased restrictions, CoinDCX has experienced 47 percent growth in the latter, a 10x rise in user signups, and 150 percent daily application usage.