Friday, March 1, 2024
Home » Cambodia Emerges as a Hub for Regulated Digital Asset Trading

Cambodia Emerges as a Hub for Regulated Digital Asset Trading

by Surya Narayan
0 comment

Cambodia is poised to establish itself as a prominent hub for regulated digital asset trading, offering a secure, transparent, and controlled environment for buying and selling various cryptocurrencies. The Royal Group’s Senior Manager, Thomas Schings, shared this visionary outlook during a conversation with Khmer Times, accompanied by renowned crypto expert Dave Lee, the founder of X-CODES.

This transformational shift in Cambodia’s financial landscape was marked by the recent launch of the Royal Group Exchange (RGX) trading platform, which leverages blockchain technology. Notably, this exchange has received approval from the Securities and Exchange Regulator of Cambodia (SERC) under its Fintech Sandbox Scheme, highlighting its commitment to a regulated, innovative approach to digital assets.

The RGX platform has ushered in a new era by enabling the secure, transparent, and efficient trading of a diverse range of digital assets. This landmark development also offers individuals and businesses in Cambodia the opportunity to participate in the global digital economy. With over 100 digital assets, including popular cryptocurrencies like Bitcoin and Ethereum, available for trading, RGX supports both spot and futures trading from the outset.

Addressing concerns about the regulatory landscape for digital assets in Cambodia, Schings clarified that there was never a full ban on cryptocurrencies or digital assets in the country. While banks have been advised not to engage with crypto-related businesses, Cambodians are not prohibited from trading or owning digital assets.

Moreover, RGX operates within the framework of the SERC’s Sandbox Licensing System, reassuring all stakeholders about the government’s stance on digital assets. As a key component of its commitment to the sandbox environment, RGX actively educates individuals interested in entering the crypto space, working closely with the SERC and the Ministry of Economy and Finance.

To ensure transparency and security, RGX adheres to robust anti-money laundering (AML) laws and conducts thorough transaction monitoring. Leveraging a “know your customer” (KYC) approach, RGX minimizes the risk of exploitation by scammers or money launderers. Additionally, RGX limits leverage to 25X, a proactive measure to protect Cambodian investors from excessive speculation.

While Cambodia already boasts a significant number of crypto enthusiasts, Schings acknowledged the importance of regulating the sector to ensure investor protection and security. He emphasized the need for educating potential investors about the nuances of digital asset trading.

Schings expressed his appreciation for the National Bank of Cambodia’s (NBC) efforts in safeguarding investors and users from unregulated practices. He believes that regulating the space, as the SERC has done, is a more prudent approach than imposing a blanket ban, which could expose individuals to risks associated with unregulated exchanges and scams.

With RGX’s launch, Cambodia is better positioned to regulate and educate its growing blockchain community. Schings also revealed plans for the RGX Academy, an educational platform designed to empower potential crypto investors and traders.

Dave Lee, the founder of X-CODES and a renowned crypto expert, lauded the RGX as a platform offering Cambodian youth access to crypto assets within a secure, transparent, and regulated ecosystem. He highlighted the timeliness of Cambodia’s entry into the digital asset sector, emphasizing its potential to create an alternative wealth-building avenue for all citizens.

Lee stressed that digital assets are a valuable hedge against inflation, and with the regulations and safeguards in place, they provide a transparent and protective asset class. He underscored the accessibility of digital assets through smartphones, making them accessible to all Cambodians.

Providing investment insights, Lee recommended assessing factors such as market capitalization, utility, the project team, and future plans before investing in a digital asset. He also downplayed concerns about the US Securities and Exchange Commission allowing Bitcoin ETFs, viewing it as a positive development that could inject billions into the crypto market.

As X-CODES partners with RGX, it aims to contribute to the growth of the digital asset ecosystem in Cambodia, reinforcing the country’s position as an emerging hub for regulated digital asset trading.

Source: Khmer Times

You may also like

Leave a Comment

Explore The Better Cambodia

A vibrant media hub focusing on Cambodia’s remarkable successes and heartening stories. Stay connected to the nation’s progress and be inspired by its promising future.

Newsletter

Sign up for The Better Cambodia's newsletter to receive the latest articles and stories. Stay informed and inspired with our positive content!

Latest News

Copyright © 2023 The Better Cambodia. All rights reserved.

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?

Newsletter!

Sign up for The Better Cambodia's newsletter to receive the latest articles and stories. Stay informed and inspired with our positive content!

-
00:00
00:00
Update Required Flash plugin
-
00:00
00:00