Malaysia’s Tokenize Xchange partners Bitgo to strengthen protection against fraud

Tokenize Xchange, Malaysia’s Securities Commision-approved digital asset exchange (DAX) operator, collaborates with Bitgo, the global leader in digital asset financial services, to take further stringent measures to safeguard users protection against fraud.

As reported by Fidelity, one-third of institutions in the United States (US) and Europe  are invested in cryptocurrencies, which manages USD2.46 trillion in assets.

With the increased confidence in cryptocurrency trading around the world, Tokenize Xchange has stepped up its efforts to further secure trading exchanges in this new initiative, the operator said in a statement.

Hong Qi Yu, Chief Executive Officer and Chief Technology Officer of Tokenize, said that all transactions via Tokenize Xchange will be insured and protected with a credible third party, covering up to USD100 million in value through a syndicate of insurers in Lloyd’s of London and the European Marketplace.

In April this year, following an increase in the number of cryptocurrency complaints the regulator received, a warning was issued by Securities Commission to the public against investing in unauthorised digital asset exchange.

“It is of paramount importance to trade legitimate digital asset exchanges on a safe and secure platform,” Hong said.

“We are pleased to partner BitGo as it is one of the largest and most established custodians for digital assets,” Hong said, adding that BitGo’s customer base includes the world’s largest cryptocurrency exchanges and institutional investors and spans more than 50 countries and supports over 250 coins and tokens and processes over 20 percent of all global on-chain Bitcoin transactions.

The digital asset exchange operator recently witnessed trading surges in Malaysia and Singapore with a regain in value stimulated by the central governments recovery packages.

According to Hong, their next step is to apply for mandatory licensing under the Payment Service Act (PSA) in Singapore as they expand to both markets.

“We believe that regulation and compliance are keys to increasing consumer confidence in digital assets and that the PSA will bring much-needed security and adherence for digital assets in neighbouring Singapore,” Hong concluded.

Tokenize Xchange, will now be using a combination of wallet set-ups and security features including both hot wallets and insured custody through BitGo Trust.

Furthermore, Tokenize utilises BitGo Prime for its recently launched Prime Lending, with additional liquidity to the Tokenize Xchange group of companies.

 

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