Singapore Gulf Bank (SGB) announced on the 1st that it has officially launched SGB Net, a real-time payment network supporting digital asset transactions for businesses in the Middle East and North Africa (MENA) region. This launch is evaluated as a significant step towards resolving the issues of payment delays and high fees that have long been pointed out as problems in international financial transactions.
In particular, the establishment of SGB Net aligns with SGB's move to promote cryptocurrency-friendly policies. SGB announced plans earlier this year to further expand its presence in the emerging digital asset market through the acquisition of a stablecoin payment company.
SGB Net Supports 24/7 Multi-Currency Transactions Without SWIFT Network
SGB Net enables fund transfers in multiple currencies 24 hours a day, without being restricted by the SWIFT (Society for Worldwide Interbank Financial Telecommunication) network or traditional banking hours. This means that companies can send and receive funds instantly without delays and at low costs.
According to the bank, SGB Net enhances capital efficiency by providing direct access to institutional-grade liquidity. It also supports instant fiat-to-crypto and crypto-to-fiat conversions, allowing users to operate quickly, flexibly, and confidently even in volatile market conditions.
Currently, SGB Net is onboarding various market participants, including cryptocurrency exchanges, stablecoin issuers, over-the-counter (OTC) desks, market makers, and prime brokers. This diverse network of participants is expected to simplify the movement of digital assets and contribute to building an interconnected ecosystem among financial entities.
Enhancing Efficiency of Corporate Financial Operations and Supporting Financially Underserved Regions
SGB Net goes beyond simple transaction processing and provides practical financial tools for corporate users. Through this platform, companies can automate payment processes, achieve instant transaction settlements, and maximize the efficiency of financial operations such as efficient fund management. In addition, SGB collaborates with liquidity providers to offer institutional-grade OTC trading services that support same-day fiat settlements.
Furthermore, SGB emphasized that SGB Net's offshore onboarding system can support underserved markets with limited access to traditional financial systems. This is expected to positively impact companies expanding their business into regions with restricted access to financial services.
Mitigating Global Market Uncertainty and Reducing Costs
SGB explained that SGB Net can contribute to mitigating current global market uncertainty by bypassing traditional correspondent banking networks and reducing foreign exchange transaction costs. Through this approach, SGB Net can improve companies' cash flow and lower geopolitical risks.
In the future, SGB plans to introduce more advanced services to SGB Net, such as sub-accounts, off-exchange settlements, and tripartite solutions. These services are expected to efficiently support the workflow of institutional investors in areas such as cryptocurrency management, tokenization, and fiat equivalent management.
Expected to Contribute to Cryptocurrency Market Growth and Financial Innovation
The launch of SGB Net by Singapore Gulf Bank is seen as a significant milestone in overcoming the limitations of traditional financial systems and promoting the growth of the digital asset market. In particular, SGB Net's strengths in real-time settlements and low fees are expected to greatly enhance the efficiency of cross-border transactions and improve the financial operating environment for companies. It is also expected to positively impact access to financial services in underserved regions.
As SGB Net connects with various financial services and secures more market participants in the future, attention will be focused on whether it can grow into a core infrastructure that leads innovation in the global financial market.
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