Crypto exchange, Blockchain.com, made a remarkable disclosure on Monday. The company announced that it secured a major payment institution (MPI) license from the Monetary Authority of Singapore (MAS) on August 1, a breakthrough following its in-principle endorsement by Singapore’s central bank last October. These developments underscore the exchange’s tenacious advancement, allowing it to further broaden its Digital Payment Token (DPT) services to its institutional clientele and investors in Singapore.
Peter Smith, co-founder and CEO of Blockchain.com, lauded MAS’s transparent regulatory procedure. “It prioritizes crypto industry supervision while still enabling innovation to prosper,” he stated. Secure compliance, effective risk management, and due diligence are among the criteria for obtaining an MPI license. Furthermore, Blockchain.com’s licensure underscores its precise adherence to regional financial and operational norms, validating the crypto platform as a reliable service provider in a constantly evolving industry.
It’s worth noting that Singapore, often hailed as the future crypto hub, especially within the APAC region, maintains stringent regulation around crypto activities. This dual situation of enabling innovation while ensuring supervision sets an exciting quandary. Such a contrast might raise speculations about its impact on startups, investors, and the overall market, yet the rigorous rules confirm Singapore’s commitment to secure financial dynamics.
MAS announced on Monday its commitment of up to SG$150 million (around $112 million) to back multiple fintech solutions like Web3. The ‘Innovation Acceleration track’ demonstrates the importance of industry partnership to foster technological evolution. The central bank’s proposed protocol on the use of digital currency such as central bank digital currencies (CBDCs), and stablecoins also underscores its commitment to shape the approaches to onboarding crypto service providers.
By coming down on both sides — endorsing crypto innovations, while closely monitoring and regulating their activities — Singapore is setting a new paradigm in digital finance. It’s notable that the delicate balance of stringent regulations and allowance for innovation is the direction being taken by one of the world’s leading hubs for digital innovation. The critical question remains – can this form of active regulation paired with unbridled innovation exist in harmony or does one inevitably restrict the other?
Source: Cryptonews
