Crypto exchange Crypto.com has acquired Australian brokerage and trading company Fintek Securities, allowing it to also offer traditional financial products to users in Australia.
Fintek is regulated by the Australian Securities and Investments Commission (ASIC) and holds an Australian Financial Services Licence.
Vakul Talwar, Crypto.com’s general manager of Australia, said the acquisition was a “huge step” for the Singapore-based exchange because it can now offer equities trading on Australian and international stock exchanges.
Source: Crypto.com
It will also allow them to offer deposit products, derivatives, securities, foreign exchange and managed investment schemes.
“As part of this brokerage acquisition, we will be able to launch equities trading on Australian and international exchanges including, but not limited to, the Australian Securities Exchange, London Stock Exchange, New York Stock Exchange and Nasdaq,” he said.
Talwar said the ultimate goal is to bridge traditional finance and digital assets by integrating traditional brokerage capabilities, allowing users to manage “a range of investment assets” and “different investment classes.”
Related: Australian crypto investors ‘sitting on the sidelines’ for clearer laws: Swyftx CEO
Bitcoin (BTC) and crypto are legal in Australia for trade, spending and holding, although merchants are not obliged to accept them as payment for goods or services.
In August 2022, the government announced it was taking steps for consultation with industry players, investors and stakeholders about drafting a regulatory framework for the crypto sector, with work still ongoing.
Efforts to regulate crypto in Australia are still ongoing. Source: Cointelegraph
At the Sept. 23 AFR Crypto Crypto and Digital Assets summit in Sydney, ASIC Commissioner Alan Kirkland flagged the regulator was preparing a new guidance to require crypto exchanges to obtain financial services licenses.
Talwar said Crypto.com has been working to “help progress” clear regulations in Australia in discussions with authorities.
“While we recognize there is currently limited guidance on crypto regulation in this country, we are working very closely with the government and ASIC and doing what we can as a responsible local industry player,” he said.
On Oct. 31, the crypto exchange announced it had acquired Watchdog Capital, a broker-dealer registered with the United States Securities and Exchange Commission, allowing it to offer stocks and equity options to eligible traders in the US.
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