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Singapore will further open regulation for cryptocurrencies

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The Asian city-state of Singapore is known for its advanced attitude towards cryptocurrencies and blockchain technologies. Now local government organizations are working hard to expand the scope of the Singapore Central Bank, the Monetary Authority of Singapore (MAS).

According to reports, the Minister of Education has tabled a legislative proposal in Parliament on behalf of the Deputy Prime Minister and Chief of the Central Bank. If the bill is passed, the central bank could self-regulate local payment service providers. That would apply to certain risks and other concerns. These include risks related to technology and cyberspace, money laundering and terrorist financing. Also included would be bankruptcy risks for clients, fragmentation and limitations on interoperability. Singapore's payment service providers would need to have a license to offer their services.

The current move in Singapore is similar to the one Hong Kong announced a few weeks ago. In an official press release, the Hong Kong Securities and Futures Commission announced a new regulatory framework. This should regulate the trading of cryptocurrencies and commit the crypto exchanges to obtaining a license.

Hong Kong Securities and Futures Commission CEO Ashley Alder said:

“The measures announced today allow us to regulate the management or distribution of crypto funds in one way or another. The interests of investors are protected either at management or distribution level, or both. We hope to promote the responsible use of new technologies while offering investors more choice and better results. “

Singapore and the tokenized assets

The current legislative proposal follows just about two weeks into another announcement from Singapore. The city state recently announced that it would develop a new automation methodology for the rapid settlement, ie the fulfillment, of transactions with tokenized assets. The central bank and the local exchange for commodities futures and securities, the Singapore Exchange Ltd., want to cooperate.

Part of the development is a “delivery versus payment” method. This method is based on smart contracts and aims to facilitate the settlement of transactions with tokenized assets across different blockchain platforms. Sopnendu Mohanty, Head of the Fintech Department of the Central Bank of Singapore, said:

“The project demonstrated the value of blockchain technology and demonstrated the benefits it offers the financial sector in the short to medium term. The concept of asset tokenization, as well as the other lessons learned, can potentially be used across a broad economic spectrum. This opens up a whole new world of possibilities. “

But this project is just one of several that is currently being done in Singapore. Furthermore, Singapore works with Deloitte, Nasdaq and Anquan on the project “Ubin”. It's about bringing the Singapore dollar (SGD) to the blockchain and tokenizing it.

Sources: Finance Feeds, Securities and Futures Commission, Ministry of Communications, Pixabay

Author: Peter Joost – Source Post: https://www.kryptovergleich.org/singapur-wird-regulierung-fuer-kryptowaehrungen-noch-weiter-Opennen/

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