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Singapore’s MAS grants in-principle approval to CryptoCom

Singapore’s MAS grants in-principle approval to CryptoCom, Crypto Trading News
The leading exchange for digital assets – CryptoCom – has received approval in principle from the Monetary Authority of Singapore to offer a variety of payment services within the Asian city-state.

The regulator has also given the green light to two other crypto industry companies – Genesis and Sparrow – to offer similar services.

The MAS said yes

In a recent announcement, CryptoCom stated that the recent approval will allow the exchange to offer numerous settlement solutions under the Payment Services Act, including Digital Payment Token (DPT) services for Singaporean customers. Kris Marszalek – co-founder and CEO of the platform – commented on the license as follows:

“The Monetary Authority of Singapore sets a high regulatory bar that encourages innovation while protecting consumers, and their approval in principle of our application reflects the trusted and secure platform we have worked diligently to build.”

He further described Singapore as a “thriving market for fintech innovation” where cryptocurrencies and other technologies could thrive.

CryptoCom has been badly affected by the recent collapse of the cryptocurrency market. Earlier this month, the company announced that it plans to lay off 260 employees, or 5% of its total workforce. However, once the negative trends reverse, CryptoCom will be “ready to dive and capture the next wave of growth,” Marszalek assured.

Aside from the exchange, MAS gave nods to digital asset broker – Genesis – and crypto trading venue – Sparrow. Just like CryptoCom, they will be able to offer DPT services in Singapore under a strict regulatory regime.

“We must continue to build trust through regulatory guardrails while encouraging innovation and realizing profits,” said Heng Swee Keat, Deputy Prime Minister of Singapore.

Recent approvals have brought the number of cryptocurrency firms that received a “yes” from the MAS to 14. However, this is a small fraction of the 200 applicants who have sought approval from the regulator over the years.

Singapore wants to become a crypto hub

A few months ago, Ravi Menon — the head of MAS — outlined the regulator’s ambitions to transform the city-state into a global hub of the cryptocurrency industry. In his view, however, this goal could be achieved through comprehensive regulation of the sector.

Menon argued that criminals could use digital assets for their illicit activities, meaning the rules should be as “strict” as possible.

Last month, Singapore’s top financial regulator teamed up with the local money industry to launch Project Guardian. The initiative is led by the largest domestic bank – DBS Bank – and the American company – JPMorgan Chase.

Project Guardian will explore the potential use cases of decentralized finance (DeFi) and asset tokenization, doubling down on Singapore’s intentions to become a cryptocurrency hub.

Source: Crypto News Deutsch

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