Kenanga Investment Bank Berhad – among the top Malaysia-based financial services entities – is reportedly setting foot in the crypto sphere, via an investment in a crypto firm.
Specifically, Kenanga has reportedly established its presence across the crypto industry via inking a conditional agreement finalizing the acquisition of a 19% equity stake in a licensed crypto exchange. The deal was completed via Kenanga’s fully-owned private equity arm Kenanga Private Equity.
Per the agreement, Kenanga will reportedly carry out investment in Tokenize Technology – the operating entity of Malay-headquartered crypto exchange Tokenize Xchange – one of three exchanges under the regulations of the Securities Commission Malaysia to support trading services for major digital coins, nominally Bitcoin (BTC) and Ether (ETH).
“We have been building a digital ecosystem to offer our customers a wide spectrum of financial products and services, including digital assets.” Datuk Chay Wai Leong, group managing director of Kenanga Investment Bank Berhad, reportedly remarked.
“Our interest in digital assets goes beyond Bitcoin and other commonly traded cryptocurrencies. We believe that the technology behind digital assets is very powerful and the emergence of digital assets in the future is inevitable,” He further stated.
One top-tier Malaysian independent investment bank by equity trading and volume is reportedly in the possession of Kenanga. The firm is reportedly also a public associate of crypto-friendly retail heavyweight from Japan – Rakuten.
Towards the end of 2020, Malaysia has reportedly employed new digital asset-related guidelines by the Securities Commission Malaysia, focusing on crypto asset custodians and IPOs, to promote “responsible innovation in the digital asset space”, as well as supervising possible risks and protecting the interests of issuers and investors.