Breaking: Singapore Greenlights Two New Institutional Grade Physical Bitcoin (BTC) Funds

Prashant Jha
November 26, 2021
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Bitcoin Fund

The Monetary Authority of Singapore (MAS) green-lighted two new institutional-grade Bitcoin Funds issued by leading asset manager Fintonia. The two Bitcoin funds namely The Fintonia Bitcoin Physical Fund and the Fintonia Secured Yield Fund would offer long-term exposure to institutional investors in the country. The two new Bitcoin funds aim to cut down the complexities involved in buying BTC from various exchanges and offer a secure way of investing.

The Fintonia Bitcoin Physical Fund would invest in physical Bitcoin and issue their company shares based on their Bitcoin holdings. Physical Bitcoin refers to the fact that the company would buy actual Bitcoins rather than investing in derivative products. Adrian Chng, founder, and chairman of Fintonia Group said,

“The fund acquires ‘physical’ bitcoin, meaning we will buy the actual bitcoin [rather than] a derivative instrument on bitcoin. As an MAS regulated fund manager with strict standards, we can connect with multiple exchanges and different market-makers, enabling us to find the best prices, as well as buy or sell at volume. The fund also enables efficient cash or crypto transfers, resolving the challenges around moving large amounts of cash in or out of the system.”

The firm also promised impeccable security services as the two new Bitcoin funds would secure their holdings with a licensed and insured custodian. Fintonia is one of the leading asset managers in Singapore and expects its two funds to grow in “triple-digit millions” in one year.

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Fintonia’s Bitcoin Fund to Offer Loans

The second Bitcoin fund in the form of the Fintonia Secured Yield Fund promises to offer direct loans to Bitcoin holders. The main aim of the fund is to offer monetary benefits to BTC holders without them selling their holdings.

“Bitcoin is an excellent form of collateral for loans.  It trades 24/7 and is highly liquid, with approximately $30bn to $60bn per day. If required, it can be quickly liquidated in comparison with, for example, commodities and real assets.”

Singapore has increasingly become a top choice for many crypto giants in the recent past. The regulatory environment in the country seems to suit the needs of crypto service provides because of which the likes of Binance, Coinbase, and FTX want to expand their business in the country.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
An engineering graduate, Prashant focuses on UK and Indian markets. As a crypto-journalist, his interests lie in blockchain technology adoption across emerging economies.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.