Singapore strives to become a global crypto hub, reveals the currency authority-regulation
Singapore strives to become a global crypto hub, reveals the currency authority-regulation
Singapore, already an important financial center in the world, now also wants to become a cryptocurrency hub. The city-state strives to secure its role as a leading player in the crypto room, as the head of its central bank institute emphasized in the latest comments.
Singapore establishes itself as the center for crypto shops
The authorities in Singapore companies to strengthen his position as an important player in the crypto business, the civil servant who at the head of the Monetary Authority of Singapore ( MAS ) Interview revealed. Singapore and other financial centers around the world are looking for opportunities to regulate the rapidly growing sector. Quote from Bloomberg, Managing Director of Mas Ravi Menon explained:
We think that the best approach is not to restrict or forbid these things.
The MAS is Singapore Central Bank, which is responsible for determining the rules for banks and financial companies. The authority is now trying to introduce a “strong regulation” for companies that have to do with cryptocurrency so that those who meet their requirements and adequately address the entire range of the associated risks can be active in jurisdiction.
"With cryptoba -based activities, it is basically an investment in a future future, the form of which is not yet clear at this time," noted Menon. The executive warned that Singapore runs the risk of being left behind if it does not interfere in the room. He continued:
If we get into this game early, we can have a lead and understand its potential advantages and its risks better.
ravi Menon insisted that Singapore has to increase his security precautions in order to counter risks, including such in connection with illegal streams. At the same time, the city state is "interested in the development of crypto technology, the understanding of blockchain, smart contracts". It is also preparing for a web 3.0 world, emphasized the central banker.
In the race for crypto companies, Singapore competes with destinations such as Malta, Switzerland and El Salvador. The task is difficult because the crypto industry has developed in many cases with a few regulations, while players defend themselves against the government's attempts to introduce restrictions. An important crypto platform that already works in Singapore is Binance Assets.
At the beginning of the year, MAS announced that 170 companies applied for payment service licenses, which increases the total number of applicants to 400 in accordance with the payment service law. In August, the authority announced that it Several providers so that it would. Since then, however, only three crypto companies have received the permits, including the DBS brokerage arm, Singapore's largest bank. Around 30 other facilities have withdrawn their applications.
The managing director of the MAS pointed out that the regulatory authority took time to check the applicants for their high requirements. The authority has prepared for the resources for cooperation with an increasing number of licenses, but also emphasized:
We don't need 160 of you to set up a shop here. Half of them can do this, but with very high standards that are a better result in my opinion.
Menon is convinced that the advantages of a well -regulated domestic crypto industry could go beyond the financial sector. "If and when a crypto economy gets going in a way, we want to be one of the leading actors," he emphasized, adding that the crypto room can contribute even more than the traditional financial industry to create jobs and added value.
Do you think Singapore will achieve his goal of establishing himself as a leading global crypto hub? Let us know in the comment area below.
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