The SECDEX Digital Custodian (SDC) has gone live after being granted a licence under the Seychelles Financial Services Authority (FSA) sandbox to offer digital custody services.
SDC is the latest addition to the Seychelles-based SECDEX Group, a licensed, regulated exchange, central counterparty clearing house (CCP) and central securities depository with registry.
SECDEX Exchange, which is live with its first members, facilitates the tokenisation, registration, primary issuance and secondary trading of any credible securities with SDC handling safe custody and a well-defined on-boarding and legal process.
SDC caters for a range of digital assets, including security tokens and cryptocurrencies such as Bitcoin for customers choosing to put their digital assets in its safe custody, with robust layers of security to prevent fraud and misappropriation, SECDEX explained.
Meanwhile, wallet keys and key backups are stored with strong encryption, according to SECDEX.
SDC services the digital custody needs of both private and institutional clients by handling custody, escrow services, automated transfers, balance confirmations and account related requests.
The SECDEX Group has attracted around $544 million of assets, which it has tokenised, with immutability and transparency on the Ethereum blockchain and held in secure digital custody with SDC.
Hirander Misra, chair of SECDEX Group said: “There is immense interest in the regulated SECDEX ecosystem from issuers, investors, traders and asset holders, as their need for exposure to digital assets in addition to traditional asset classes continues to grow, and we are pleased to welcome our new clients.”
Dr Steve Fanny, CEO of the Seychelles FSA, commented: “The FSA is pleased that SECDEX Digital Custodian is now authorised in our Sandbox, which provides a regulated environment within which Seychelles-registered companies carrying out FinTech-related financial services within the securities industry can operate.”
He added: “The Sandbox is instrumental in our strategy of moving the non-bank financial services of Seychelles to the next level, as it will not only attract higher value-added products and services to our financial services sector, but will also demonstrate that the jurisdiction is modern and forward-looking.”
Jessica T.Naga, legal and compliance director at SECDEX Group, noted: “Operating as a regulated entity in the FSA Sandbox enables SECDEX Digital Custodian to provide our digital custody solutions across borders, whilst ensuring compliance with stringent regulatory criteria. The fact that the FSA Sandbox is part of the Global Financial Innovation Network (GFIN), which consists of over 50 financial regulators and related organisations, is a major advantage for firms like us to offer innovative financial products and services in multiple jurisdictions.”
Image: From left to right: Jessica T. Naga, Dr Steve Fanny, Hirander Misra 