DWF Labs, a digital asset market infrastructure provider, has secured Virtual Asset Service Provider (VASP) regulatory approval from the British Virgin Islands Financial Services Commission (BVI FSC), allowing institutional clients to access its over-the-counter trading and market-making services via a regulated entity.
The approval follows the BVI’s 2022 Virtual Assets Service Providers Act, which established a legal framework for regulating digital asset services. The British Virgin Islands currently accounts for nearly 10% of the global tokenization US treasuries market, with $1.5 billion in distributed value, according to data from rwa.xyz. BVI-domiciled entities also manage $1.2 billion in active stablecoins, supported by 24,700 asset holders and weekly transfer volumes of $694.1 million.
DWF Labs, which supports 20% of CoinMarketCap’s Top 100 projects and 35% of its Top 1,000, operates with over 1,000 blockchain companies across multiple sectors. Heng Lee, managing director and partner at DWF Labs, described the VASP approval as “a key step in responsibly expanding and delivering regulated digital asset services to international institutional clients.”
The exact timeframe for the BVI’s tokenization and stablecoin market figures remains unspecified, and the methodology behind rwa.xyz’s data has not been independently confirmed. The BVI FSC did not immediately respond to requests for further details on the regulatory process or its expectations for VASP-licensed entities.
Written by Oliver Grant
Markets Desk
