The global digital revolution is deepening and enhancing efficiencies in financial systems. By broadening access to financial services, it enhances economic development and promotes a more inclusive growth model, which is especially pertinent in emerging economies in Asia.
These are all good reasons for Labuan IBFC to be a key facilitator of Asia’s digital finance movement. In general, currently digital finance can be divided into four sectors:-
- Payments and currencies (crypto-currencies, currency exchanges, mobile money and payment apps);
- Software and Applications (any new process designed to improve back and middle office processes);
- Platforms (crowdfunding, fund raising, secondary trading);
- Data/analytics (technology which gathers and analyses data to produce information to improve businesses).
Thus far, the following types of licences have been issued:-
- Crypto currency exchange platforms;
- FinTech funds;
- Digital token issuance; and
- Digital securities exchanges focused on using blockchain technology to democratise access to capital markets, be it primary or secondary.
The jurisdiction has a forward-thinking regulatory approach and Fintech friendly existing legal structures and licenses, which has been vital in cementing our standing as a successful FinTech jurisdiction.
Benefits of setting up FinTech business in Labuan IBFC
- Existing digital friendly license toolbox
- Well-regulated and respected jurisdiction
- Expertise in delivering cross-border financial services
- Strong, open, pragmatic proportional regulatory regime
- Business friendly facilitative environment
- Asian time zone and connectivity
- Ability to create Economic Substance
- Commitment to digital innovation
- Currency and Tax neutral operating environment
- Ease of doing business with cost-effective solutions and structures
- Access to skilled talent
- Options for Shariah compliant FinTech