DBS Group Holdings, Singapore’s largest bank, is teaming up with a leading stablecoin issuer to introduce an innovative crypto custody service. According to a recent report from Bloomberg, DBS has collaborated with Paxos Trust Co. to launch this new offering.

In a press release by Paxos, it was revealed that the Monetary Authority of Singapore (MAS) has granted approval for Paxos to provide a digital token payment service in conjunction with DBS. This marks Paxos’ third market where it has received regulatory approval for issuing stablecoins, following the United Arab Emirates and the US.

Walter Hessert, Paxos’ head of strategy, emphasized the significance of MAS’s approval, stating, “Stablecoins issued under MAS standards, known for their rigorous regulatory framework, represent a pivotal step in democratizing access to commerce and financial services. Obtaining MAS approval is a crucial milestone for Paxos and our global partners, facilitating safer access to US dollars for users worldwide.”

Evy Theunis, head of digital assets at DBS Bank’s institutional banking group, expressed enthusiasm for the partnership, stating, “We are pleased to support Paxos’ expansion in Singapore. We strongly believe that trust and security are fundamental to broader adoption of stablecoins. By addressing all pertinent aspects of reserve asset management, our solutions enable stablecoin issuers to meet rigorous regulatory and customer standards. This partnership further strengthens DBS’ extensive engagement in the digital asset ecosystem, where we have been pioneers and innovators for several years.”

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