BondEvalue formally graduated from the MAS’ regulatory sandbox on 1 October 2020, the corporate mentioned in a launch.
Some time in the past Rahul Banerjee, a former banker of Standard Chartered Bank launched BondEvalue, a Singapore-based fintech that operates the world’s first blockchain-based bond trade known as BondbloX Bond Exchange (BBX).
“Getting the MAS’ greenlight is a big deal for us,” mentioned Rahul Banerjee, founder and CEO of BondEvalue. It will assist to speed up engagements with potential companions.”
It goals to deliver buying and selling of a variety of fixed-income securities to the mass market throughout the area.
“The move means that BondEvalue has successfully concluded proof of technology and business model,” the corporate mentioned. It is now now not certain by restrictions equivalent to limits on buying and selling quantity and disclosures particular to the sandbox mannequin.
A sandbox is a regulatory assemble which gives fintech gamers with a sooner choice to check progressive monetary services out there beneath regulatory scrutiny.
BBX permits for bonds to be traded in smaller sizes of US$1,000 not like typical bond trades of at the very least $200,000. This results in higher entry and higher diversification alternatives for a market that’s usually inaccessible besides to extra rich traders, in keeping with the corporate.
The blockchain expertise makes buying and selling extremely clear and less expensive. Settlement on BBX is on a T+zero foundation, that’s inside seconds as a substitute of the traditional two-day settlement cycle, thereby lowering counterparty settlement dangers for traders.
“Our vision of extending bond trading from Wall Street to Main Street is becoming a reality,” mentioned Banerjee.
BondEvalue’s Initial Launch Partner UOB Kay Hian, a part of the UOB Group and one in every of Asia’s largest brokerages, and its first member, multi-family workplace Taurus Wealth Advisors, will ramp as much as deliver extra traders to the platform.