Islamic Finance

Labuan approval opens door to Southeast Asia for digital asset platform Fasset

Fasset, a platform that provides tokenisation and financing for sustainable infrastructure assets, has been given a licence to operate by Malaysia's Labuan Financial Services Authority.

The fintech said in a statement on Monday (June 7) the Labuan license will allow it to expand its services to more than 180 different jurisdictions and accelerate the company’s venture into Southeast Asia.

The licence allows the company to operate a crypto exchange and serve the markets it is currently focusing on in Southeast Asia, such as Indonesia, said the company.

Fasset allows users to buy, sell, send and store digital assets such as bitcoin and Real World Asset Tokens that give virtual ownership of a physical good. 

Labuan's approval comes as part of Fasset's long-term growth plans to strengthen its presence across South and Southeast Asia. 

Labuan Financial Services Authority is the regulatory body governing Malaysia's mid-shore Labuan International Business and Financial Centre.

Fasset already has a presence in the UAE and Bahrain, where it received authorisation from the Bahraini central bank to test its solutions in the FinTech Regulatory Sandbox. 

Last month, as part of the first tokenisation of a Tesla charging unit, Fasset created 10 “tokens” that give holders access to a wall charger at discounted rates as co-owners in the electricity supplied by the unit. 

Fasset has shied away from labelling itself Islamic or Shariah-compliant but a 2019 article in the Financial Times, in which co-founder Daniel Ahmed was interviewed, describes the platform as "matching would-be investors with infrastructure projects funded by Islamic finance".

*Updates with Para 3 to explain what the licence allows Fasset to do

© 2021 All Rights Reserved