The Commodity Futures Trading Regulatory Agency, Bappebti, approves the application of the Crypto trading services provider Zipmex to operate in the country. Zipmex is a Singapore-based crypto exchange targeting the Asia-Pacific region.
Before this approval, Zipmex obtained permission from the regulatory bodies of both Thailand and Australia. According to the exchange’s officials, their priority is to hit Asia-Pacific countries before going worldwide.
The Singapore-based crypto exchange applied for approval because the Indonesian regulator made it necessary for the firms dealing with crypto trading services. Bappebti implemented a new policy for registration last month.
Indonesian’s regulatory body demands from the crypto exchanges to do a few things better before applying. These include security, transaction systems, and risk control management.
The CEO and co-founder of the exchange, Marcus Lim, said:
‘’Since inception Zipmex has continually been looking at ways to legitimize its offering in the digital asset space and work with regulators wherever possible. Zipmex is now one of the first companies in Indonesia to be officially registered as a crypto trading service provider.’’
Exchange will Offer Trading against Native fiat
Zipmex is already working in Indonesia but not directly involved in offering crypto services to citizens. Last year, the exchange partnered with the ALTO- Indonesian interbank network. For users’ ease, the exchange will deliver crypto services against the native currency- Rupiah. However, besides Indonesian fiat, Zipmex is also offering crypto trading against Australian, US, and Singaporean dollars.
‘’Regulation is key to adoption – it brings credibility and legitimacy to the digital assets industry at a time when digital currencies and securities are emerging as an asset class for the unbanked as well as traditional investors. Zipmex has been established with all parties in mind, offering a fast, secure and safe trading environment,’’ Lim commented.
Already Complied with Australian and Thai Regulators
Securities and Exchange Commission (SEC) of Thailand had also granted permission to the crypto exchange to do the crypto trading business in the country. Similarly, Zipmex has also complied with the Australian Transaction Reports and Analysis Centre (AUSTRAC).
The exchange is currently approaching different regimes and trying to mold itself according to the regulators’ requirements. The chief advisor at Zipmex, Chaiya Yimwilai, said:
‘’Operating across multiple regions has allowed us to adopt the best practice from each particular region. For example, we adopt AML policies that satisfy AUSTRAC, the Australian regulator that regulates money laundering. In addition, SEC Thailand requires institutional-grade custody solutions of digital assets, which we then use in all of the markets that we operate in’’