SKN | DBS Bank: TradFi and DeFi Are Increasingly Converging

DBS Bank is emerging as one of the most advanced traditional financial institutions integrating digital asset services into mainstream banking. Speaking at Abu Dhabi Finance Week (ADFW), Evy Theunis, Head of Digital Assets at DBS’s Institutional Banking Group, explained how the bank has built its digital asset platform entirely on traditional finance (“TradFi”) standards. This approach positions DBS to meet rising demand from both digital-native companies and established institutions exploring decentralized finance (“DeFi”) opportunities.

Building a Digital Asset Platform With TradFi Discipline

Unlike many financial institutions that began experimenting cautiously with blockchain, DBS constructed its digital asset infrastructure from the ground up using the same core principles applied to traditional credit, deposit, and securities businesses.

Theunis noted that DBS’s platform includes robust institutional-grade capabilities such as:

• OTC trading for digital assets

• Custody services with bank-level security standards

• Institutional trading infrastructure designed to manage counterparty and settlement risks

By adopting these standards early, DBS has bridged the operational and regulatory gap between traditional banking and emerging Web3 markets. The strategy reflects the bank’s belief that digital assets must meet the same reliability expectations as mortgages, loans, checking accounts, or digital banking services.

Why Institutions Are Turning to Digital Asset Solutions

DBS serves a growing number of digital-asset-native firms, many of which now require familiar TradFi tools—only adapted to blockchain-based markets. According to Theunis, demand is rising for third-party collateral arrangements, agency services, custody oversight, and counterparty-risk management tools designed specifically for digital assets.

At the same time, established financial institutions and corporate clients are moving beyond experimentation and into practical adoption. These clients increasingly want secure, regulated pathways into digital asset markets without compromising compliance, governance, or performance expectations.

In this sense, DBS is helping accelerate institutional adoption by treating digital assets as an evolution—not a replacement—of traditional financial systems.

How DBS Is Shaping the Future of Digital Institutional Banking

Theunis, who joined DBS in 2015 and later led AI-driven customer science initiatives, now oversees the development and execution of the bank’s institutional digital asset strategy. Her team’s work signals how the line between DeFi and traditional banking services is narrowing.

DBS’s digital approach is grounded in three core priorities:

1. Risk-managed infrastructure aligned with global regulatory expectations

2. Integrated digital banking services that allow seamless interaction between fiat and tokenized assets

3. Scalable digital products that institutional clients can use across global markets

As interest rates, credit allocation, and capital markets become increasingly intertwined with blockchain-based platforms, DBS’s hybrid model shows how banks can remain competitive while supporting innovation responsibly.

Closing Insight

The convergence of TradFi and DeFi is no longer theoretical—it is unfolding in real time. DBS Bank’s institutional strategy demonstrates that regulated digital asset solutions can enhance transparency, liquidity, and operational efficiency. For investors and institutional clients, the future will likely involve blended financial ecosystems where tokenized assets, smart contracts, and traditional banking infrastructure operate side by side. Those who prepare early will be best positioned to navigate this next era of financial innovation.

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