2 years ago
Singapore has implemented caller regulations for crypto work providers successful a bid to heighten capitalist extortion and support marketplace integrity wrong the cryptocurrency industry. The Monetary Authority of Singapore (MAS) volition besides restrict lending and staking activities facilitated by crypto work providers for their retail customers.
Singapore Has New Crypto Rules
The Monetary Authority of Singapore (MAS) announced connected Monday “new requirements for Digital Payment Token (DPT) work providers to safekeep lawsuit assets nether a statutory spot earlier the extremity of the year.” Singapore’s cardinal slope detailed:
This volition mitigate the hazard of nonaccomplishment oregon misuse of customers’ assets, and facilitate the betterment of customers’ assets successful the lawsuit of a DPT work provider’s insolvency.
The cardinal slope noted that these measures were introduced pursuing a nationalist consultation successful October past twelvemonth “on regulatory measures to heighten capitalist extortion and marketplace integrity successful DPT services.” The monetary authorization is present seeking nationalist feedback connected the draught legislative amendments to the Payment Services Regulations to enactment these requirements into effect.
MAS started the consultation conscionable earlier the illness of crypto speech FTX successful November past year. Temasek Holdings, a Singaporean authorities concern company, invested $275 million successful FTX and wrote down the full worth of its concern aft the crypto steadfast filed for bankruptcy.
In addition, the Singapore cardinal slope stated Monday that it volition besides enforce restrictions connected crypto lending and staking activities. According to the announcement:
MAS volition besides restrict DPT work providers from facilitating lending and staking of DPT tokens by their retail customers.
The regulator emphasized that “these activities are mostly not suitable for retail public.” However, MAS clarified that DPT work providers tin proceed to facilitate specified activities for their organization and accredited investors.
MAS further cautioned investors that “while the segregation and custody requirements volition minimize the hazard of nonaccomplishment of customers’ assets, consumers whitethorn inactive look important delays successful recovering their assets successful the lawsuit of insolvency of the work providers.” The cardinal slope stressed: “Consumers indispensable besides stay vigilant and not woody with unregulated entities, including those based overseas, arsenic they hazard losing each their assets.”
What bash you deliberation astir Singapore’s caller rules targeting custody, lending, and staking activities? Let america cognize successful the comments conception below.
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