At this time round, Singapore is seriously working to be recognized as the most friendly and top player in crypto-related businesses globally.
Many countries around the world have recently turned their backs to cryptocurrency while others are also showing the concern of embracing it of late. At this time round, Singapore is seriously working to be recognized as the most friendly and top player in crypto-related businesses globally.
In a recent interview for Bloomberg, Ravi Menon – Managing Director of the MAS – revealed his stance on the cryptocurrency industry and its possible future implementation in the city-state’s financial network.
“With crypto-based activities, it is basically an investment in a prospective future, the shape of which is not clear at this point. But not to get into this game, I think Singapore risks being left behind. Getting early into that game means we can have a head start, and better understand its potential benefits as well as its risks.”
In the race to attract crypto businesses, Singapore is competing with destinations such as Malta, Switzerland, and El Salvador, among others. The task is a difficult one as in many cases the crypto industry has developed with few regulations while players oppose government attempts to introduce limitations. A major crypto platform already operating in Singapore is Binance, the world’s leading digital asset exchange.
The managing director of the MAS pointed out that the regulator is taking time to assess applicants to ensure that they meet its high requirements. The authority has prepared itself in terms of resources to work with an increasing number of licensees but also stressed: “We don’t need 160 of them to set up shop here. Half of them can do so, but with very high standards, that I think is a better outcome.”
Mr Menon said the benefits of having a well-regulated local crypto industry could also extend beyond the financial sector. “If and when a crypto economy takes off in a way, we want to be one of the leading players,” he said. “It could help create jobs, create value-add, and I think more than the financial sector, the other sectors of the economy will potentially gain.”