Home CryptoCurrency News Singapore’s Central Bank Plans to Regulate Bitcoin Payments

Singapore’s Central Bank Plans to Regulate Bitcoin Payments

The minister for the Monetary Authority of Singapore (MAS), the nation’s central banking authority, has stated the institution is doing work to develop a regulatory framework for bitcoin payments.

In response to a dilemma on the matter from an MP, Tharman Shanmugaratnam – who is also deputy key minister of Singapore – confirmed that though the MAS “has been checking” cryptocurrencies such as bitcoin and ether, it has no intention of regulating them. Nevertheless, specific peripheral functions will require a authorized framework, he stated.

MAS, he went on, is now doing work to develop a new regulatory framework for cryptocurrency payment providers, in buy to be certain they are not misused for income laundering and terrorism financing.

In the statement, Shanmugaratnam clarified that, though MAS has still to make a specific regulatory framework uniquely for ICOs, it will do so if deemed vital.

Shanmugaratnam spelled out:

“Digital currencies can go past remaining a signifies of payment, and evolve into “2nd era” tokens symbolizing advantages such as ownership in property, like a share or bond certification. These are economical functions that falls below MAS’ regulatory ambit.”

The minister also stated that though cryptocurrency investing is extensively preferred in U.S., Japan and Hong Kong, investing quantity is relatively very low in Singapore. On major of that, only about 20 Singapore vendors take bitcoin, according to the the central banking authority.

In August, MAS declared that tokens might be categorized as securities. Even more, the economical regulator has issued statements warning investors of potential fraudulent ICO techniques.

Very last month, the bank accounts of a quantity of bitcoin businesses dependent in Singapore had their bank accounts closed without having rationalization. MAS stated at the time that, as the closure represent a commercial selection taken by financial institutions, it would not interfere.

MAS image by using Shutterstock

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