DBS SG Says Bitcoin is a Ponzi Scheme while Chicago Firm Eyes Singapore

DRW SingaporeDRW, a Chicago-based firm, is hoping to set up a bitcoin exchanging work area in Singapore to penetrate the digital money market in Asia. The firm has been dabbling with bitcoin since 2014 by means of its division Cumberland Mining, which as of now offers over-the-counter bitcoin exchanging services in Chicago and London. Bobby Cho, the head of Cumberland, disclosed that the firm is planning to fire up operations in Singapore before the year-end.

“Asia is a big opportunity for us,” Cho said. “We dominate the market in the US and we are trying to bring that liquidity to Asia where there are tons of activity.”

In China, where retail trades have closed down as a group in light of a crackdown by the administration, the OTC business has boomed. OTC exchanging firms like Cumberland services purchasers and merchants off retail trades. An investigation directed by China’s National Committee of Experts on Internet Financial Security discovered OTC exchanging has blasted since the crackdown started.

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Cho revealed the association’s procedure isn’t really to rule China.

“China has always been a grey box with a lot of things,” Cho said. “So I don’t look at the opportunity as specifically trying to capture China.”

Perhaps it’s tied in with ruling the whole Asian market, as per Cho, and turning into a really worldwide, round-the-clock business.

“We want to provide institutional-grade liquidity to world, regardless of where you are located,” he said.

However, with regard to the red dot, one of Asia’s biggest banks is of the supposition that bitcoin is at present a ponzi scheme.

“We see bitcoin as a bit of a ponzi scheme,”  David Gledhill, aggregate boss data officer and head of gathering innovation and operations at DBS.

Bitcoin exchanges are inconceivably costly and every one of the charges are covered up through the crypto-instruments he claimed on the sidelines of the Singapore Fintech Festival.

“We don’t think DBS being in that game right now is going to create a competitive advantage for us.”

Rather, Gledhill stated, it right now bodes well for the bank to concentrate on its electronic exchanges of government-upheld monetary forms. He is not really the first to take a negative position on the computerized token. Inevitably, Gledhill anticipated, bitcoin valuing will turn out to be extremely shoddy since that is the manner by which it will scale, including the fact that there’s no present estimating advantage for DBS.

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DBS is Southeast Asia’s biggest loan specialist and a major devotee to developing advances. Not long ago, the bank said it propelled a cloud-based e-learning administration framework fueled on counterfeit consciousness for its representatives.

Get the latest in Asian Bitcoin news here at Coin News Asia.

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