Validus Capital, a P2P lending platform headquartered in Singapore, is looking to apply for a digital banking licence next month, reported Business Times.

Commenting on the move, Validus co-founder and CEO Ajit Raikar said: “We are ready to evolve into a full-service digital bank to connect communities and millennials who are digitally savvy with businesses.”

The latest move comes shortly after Monetary Authority of Singapore said that it will issue up to five digital bank licences.

The Singapore regulator’s initial plans are to grant up to two digital full bank licences as well as three digital wholesale bank licences.

In doing so, Singapore follows in the footsteps of the Hong Kong Monetary Authority that granted four virtual banking licences in May this year.

The recipients of the Hong Kong licences were Ant SME Services (Hong Kong), Infinium, Insight Fintech HK, and Ping An OneConnect Company.

Validus was set up in 2015.

The firm offers SMEs access to short and medium term financing from individual and institutional lenders.

This February, the firm raised over S$20.5m ($15.2m) in a Series B funding round led by Dutch development bank FMO.

FMO was joined by Cathay Financial, Openspace Ventures, VinaCapital Ventures, Vertex Ventures and AddVentures in the fundraising.