Singapore fund management company Fintonia Group has launched two institutional-level bitcoins (Bitcoin) Fund approved by the Monetary Authority of Singapore (MAS).
Fintonia announced on November 25 that the new funds Fintonia Bitcoin Physical Fund and Fintonia Guaranteed Income Fund aim to provide professional investors with simple and safe Bitcoin investment.
The Fintonia Bitcoin Physical Fund is aimed at institutional investors seeking direct access to Bitcoin, allowing them to buy, store and sell large amounts of cryptocurrency. “The fund acquires physical bitcoins, which means we will buy actual bitcoins, not bitcoin derivatives,” reportedly Adrian Chng, founder and chairman of Fintonia Said.
On the other hand, Fintonia Guaranteed Income Fund provides investors with access to private loans guaranteed by Bitcoin. “Bitcoin is an excellent form of loan collateral. It is traded 24/7, with high liquidity, about 30 to 60 billion US dollars a day. If necessary, it can be liquidated quickly compared to commodities and physical assets, etc. ,” Chng pointed out.
Both types of funds rely on third-party licensed custodians to store their clients’ cryptocurrencies in cold wallets. The company said that the investment also has insurance against theft and hacker attacks.
As a fund manager regulated by MAS that meets the requirements of knowing customers and anti-money laundering, Fintonia aims to reduce the friction between cryptocurrency and fiat currency. “These open-end funds provide professional investors with a recognized legal and regulatory structure, similar to a typical mutual fund,” the announcement read.
MAS and Fintonia did not immediately respond to Cointelegraph’s request for comment.
This news further reaffirms Singapore’s commitment to becoming a global central cryptocurrency center, as local regulators have already Multiple licenses were issued to legalize crypto transactions domestic. Ravi Menon, managing director of MAS, stated that Singapore is implementing “very strict regulations” to strengthen its position as the world’s cryptocurrency center.