It was once the fate of crypto businesses after China pulled the plug in 2017. But now, as retail interest mounts, Singapore has to rethink its attitudes towards cryptocurrencies.

The Monetary Authority of Singapore (MAS) is stepping in to provide oversight and guidance for the public.

“MAS has consistently warned the public that investing in cryptocurrencies is a highly risky investment product and not suitable for the general public. Singapore is not alone in taking this view – some jurisdictions have also taken action in relation to the advertising of crypto businesses,” a spokesperson said. Forkast.

They like issued guidelines in January limiting the promotion of cryptocurrency trading services to the public.

MAS (Financial Policy, Payments and Crime) Deputy Director General Loo Siew Yee said then: “MAS strongly encourages the development of blockchain technology and the innovative application of crypto tokens in value-added use cases. But cryptocurrency trading is very risky and not suitable for the general public.”

MAS also issued bans regarding digital payment tokens (DPT) and ordered them not to “portray DPT trading in a way that trivializes the high risks of DPT trading, nor engage in marketing activities directed at the general public.” .

In the same month, cryptocurrency ATM operators in Singapore began closing their ATMs after a ban.

Singapore’s largest crypto ATM operator, Daenerys & Co, has been forced to shut down its network of five machines. Daenerys said the speed with which the machines shut down was an “unexpected surprise”.

Singapore distinguishes between retail and institutional activity

In a separate interview, Yale-NUS College Associate Professor Andrew M. Bailey said that Singapore seems to be “increasingly distinguishing between retail activity and institutional activity, and they are much friendlier to the latter than the former. ”.

“So until that is resolved, there are a number of political agendas that I think remain somewhat ambiguous. So what regulators are doing now is taking a somewhat cautious and conservative route, awaiting further direction,” he added.

But Bailey noted that Singapore regulators are more accommodating to institutional investors.

Last week it was reported that Singapore’s neighbor Malaysia was positioning itself as the next cryptocurrency center

Disclaimer

All information contained on our website is published in good faith and for general information purposes only. Any action that the reader takes on the information found on our website is strictly at their own risk.