Singapore financial-technology agency MatchMove has teamed up with homegrown finance firm Singapura Finance Ltd. and two others to use for a digital banking license within the city-state.
The MatchMove-led consortium is the newest group to announce it’s submitted an software for a digital full banking license to the Financial Authority of Singapore. That units the agency in opposition to heavyweights together with Sea Ltd., which is backed by Tencent Holdings Ltd., and the Seize Holdings Inc.-Singapore Telecommunications Ltd. consortium.
Efforts to open up the Singapore banking business to expertise firms come on the heels of an analogous transfer in Hong Kong, the place items of Ant Monetary and different Chinese language companies together with Tencent obtained licenses.
Singapore plans to situation as many as two digital full-bank licenses, which is able to allow profitable candidates to serve retail in addition to company shoppers. Candidates might want to meet necessities together with paid-up capital of S$1.5 billion ($1 billion), and winners are scheduled to be determined in the midst of the 12 months.
In accordance with Chief Government Officer Shailesh Naik, MatchMove stands out due to its expertise constructing bank-like capabilities for company shoppers in industries starting from agriculture to delivery and aviation. For instance, it really works with Singapore delivery firm Marine Innovation to make it simpler for its sailors to ship cash residence.
“In some ways, we’re already appearing like a digital financial institution,” Naik, who can be the founder, mentioned in an interview. “We need to leverage our current capabilities to succeed in underserved segments” like small firms and gig-economy staff, he added.
The opposite consortium companions are Lightnet, a Bangkok-based blockchain enterprise, and London-based fintech startup OpenPayd. Lightnet was co-founded by Chatchaval Jiaravanon, whose household runs the Charoen Pokphand Group, considered one of Thailand’s largest conglomerates.
Naik based MatchMove with Leow Hsueh Huah in 2009 as a video games and leisure enterprise that provides pleasure to shoppers. It pivoted right into a funds firm in 2016, working a digital pockets that enables companies to make funds on-line and offline by way of pay as you go playing cards. Valued at $305 million, the corporate now has 70 company shoppers and the CEO expects to have entry to 1 million folks in Singapore by means of companions by the tip of the 12 months.
Singapura Finance, which holds about 1.6% of MatchMove shares, supplies loans to people and corporations, together with deposit providers.
Different backers of MatchMove embody Vickers Enterprise Companions and NTT Docomo Ventures Inc. Individually, Naik mentioned his firm is presently elevating $150 million for enlargement into new markets together with Europe.
“We began out with a easy concept of giving a couple of minutes of enjoyable on daily basis with endorphin content material,” Naik mentioned. “We later realized that even for a couple of minutes of leisure, folks had been having problem making funds as a result of they didn’t have financial institution accounts. So we broadened the service.”
(Updates with fundraising plans and different particulars from eighth paragraph.)