Towards encouraging more activities in the Singapore crypto market, the monetary authority of Singapore introduced the payment services act. The act is aimed at regulating crypto payment and trading in tandem with laid down rules that oversee traditional fiat payment services as a guideline.
Crypto exchange firms interested in operating in Singapore are thereby required to apply for necessary clearance in the country alongside a standard payment institution license, money changing license, and major payment institution license.
Bloomberg reported earlier on Monday that a leading global crypto exchange firm has keyed into the requirement of the monetary authority of Singapore. Reportedly, the crypto exchange giant, Binance, is also exploring expanding into the Singapore crypto market. Talking about the expansion into Singapore, Changpeng Zhao, Binance CEO, said that the exchange form had applied very early. He mentioned that Binance in Singapore has kept in touch with Singapore regulators and have always been open-minded.
Payment Services Act encourages firm expansion into Singapore crypto market
In the same light, many other leading crypto firms in the world are processing beginning operations in Singapore. With the newly introduced payment services act, Singapore authorities are going to be able to regulate the activities of these crypto firms.
Global crypto exchange firms apart from Binance like Luno, Liquid, etc. also see the potentials of Singapore’s new regulations and are interested in operating in the Asian country.
Singapore to go tough on crypto firms
Earlier in February, the Singapore crypto market, according to the regulators, would be closely monitored to ensure that all crypto businesses are registered and licensed.
They also announced then that the Payment Services Act will be enforced as the regulators had always strategized how they would gain authority to supervise payment businesses in Singapore.
The Monetary Authority of Singapore, with the act, is charged with the responsibility of regulating domestic money transfer, merchant acquisition, and digital payment token services.
Singapore government has overtime shown support to crypto firms operating in the company through regulation, creating traditional bank accounts for the country, and also funding companies to develop blockchain platforms with its expanding fintech ecosystem.
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