If you ever bought crypto, centralized exchanges would have been the first place you made your purchase. Founded in 2017, Tokenize Xchange was one of the early entrants into Singapore’s digital asset space. To date, the platform allows the trading of over 80 different cryptocurrencies.
Singapore has undoubtedly been a hub for crypto. 4% of the population of Singapore, is estimated to own cryptocurrency, which accounts for 6% of global crypto wealth. With that statistic alone, there is a growing need for centralised exchanges to onbaord existing and potential new entrants.
CEO and Founder of Tokenize Xchange, Hong Qi Yu, aims to tackle just that. We spoke to Hong about crypto regulations, the current market and what they are building for the next bull run.
The beginning of Tokenize
Ethereum was his first crypto of choice, but it was by “fate” and not for any investment reasons. Previously a developer building a robot advisory for B2B solution, he bought Ethereum “to try out its contract feature” and the rest was history.
This is the genesis of crypto adoption, in its purest form, derived as a solution to solve real-world issues. Unlike many who chase price levels, the original use case of crypto was because of its tech.
Being a “first mover” came with its benefits and challenges. Because there were little to no references to take guidance from, the learning curve was steep.
But the grit to build his very own crypto venture got Hong to build a working rapport with various large TradeFi companies such as Goldman Sachs and Credit Suisse. It crafted the founding blocks of what Tokenize is today, in being a platform where it is the “easiest way to buy and sell cryptocurrency”.
Combating vulnerabilities and crypto regulations
Recent months in crypto revealed certain vulnerabilities, especially in CEXs. However, Tokenize is combating this by conducting extensive research and establishing partnerships (Bitgo and Fireblocks) to provide safe custody of digital assets.
To date, Tokenize Xchange operates under the exemption from MAS and was one of the first three digital asset exchange (DAX) operators to receive full approval from the Securities Commission Malaysia.
Tokenize makes a point of ensuring that users are secured from malicious cyber-attacks Yet, ensures that the crypto experience is secure, enjoyable and affordable for users.
Their platform was created on the philosophy of accountability and professional ethics and by holding themselves to the highest standards.
Regulation will also calm the evident culture of crypto leveraging. With the reinforcement of governmental regulations, Hong thinks “high leverage will slowly diminish just as it did in the old FX days,” minimizing the risk undertaken by every individual.
How do you select tokens for Tokenize?
“In the past we opted for a more selective strategy, listing only the top 150 cryptocurrency tokens and coins.”
I would think it is a sensible decision to onboard every token out there, my reasoning, so I can capture a larger market share of audiences, inclusive of the Degens. But I also realize responsibility comes along with that.
For Tokenize, they took a step back by pausing token listings and are “contemplating a considerably revised and updated listing criteria to give our customers greater security.” This also forms a safety barrier of “protection” for retailers, increasing exposure to certain coins may increase the risk undertaken by investors.
Find out more on the latest token list you can do your spot trading here.
Narratives in crypto
BTC as a safe haven
“I personally feel that bitcoin is destined to be the ultimate safe haven… The day when BTC reach US$1 million can be seen during my lifetime.”
Although the current market sentiments are reflecting opposing signs, Bitcoin’s risk has grown similar in correlation to FAANG companies, potentially categorizing itself as a safe haven.
“My take is that this narrative will soon change with the uncertainty of the macro-economic outlook and the flight into safe heavens like gold and crypto.”
This narrative of BTC being a safe haven stemmed from its regard as “digital gold.” However, in recent years BTC’s attraction has been more speculative similar to the tech stocks of the past.
Is the bottom behind us?
“I think it will go sideways, and then perhaps recover by 50% before having another drop or correction… A Black Swan event is still waiting to happen but this may not necessarily be bad for crypto.”
The future of Tokenize
1. NFT Marketplace, Elemint
Tokenize recognised the need for a simple and hassle-free hybrid NFT platform and recently launched its new NFT marketplace, Elemint.
“We think NFTs are here to stay and their fullest potential has not yet been seen by the public.” Elemint includes a supportive ecosystem for artists and brands to turn their work into NFTs which will contribute to the development of the NFT industry.
2. A suite of new crypto products
On top of Tokenize aiming to make buying and selling cryptocurrencies easy, they also have plans to upgrade their platform to offer a more comprehensive suite of crypto services.
“We intend next to bring back a launchpad to allow our users access to a potential unicorn or even decacorn projects.”
One way they are achieving that is by introducing new products to their existing arsenal such as algorithm trading. This will empower our users to trade regardless of market conditions, be it crypto winters or summer. Copy trading is something they are looking into to empower the best traders to create a win-win situation for retail traders.
They are currently running pilot testing on trading bots and intend to grow this feature aggressively yet carefully over the coming 12 months.
They also intend to introduce an innovative digital block trading platform and build our own coin, TKX, under our own Blockchain. It will be Ethereum virtual machine compatible. Currently, it is under erc20.
What are you excited about?
“The beauty of the crypto space is that it’s a brave new frontier which is only limited by our imagination and creativity.”
The crypto space is incredibly fast-developing and as everyone is playing catchup, it is the main motivator for Hong to continuously improve his product offering for the masses.
And while crypto has yet to shine through in its fullest potential, perhaps what Hong is doing with Tokenize are necessary steps to take for a brighter crypto future.
[Editor’s Note: This article does not represent financial advice. Please do your own research before investing.]
Featured Image Credit: Chain Debrief