Cryptocurrency is among the foremost topics of contention in the global financial scenario. Nations all over the world are looking out for ways for crypto legalization, adoption, and regulation. An early proponent, Singapore believes in the crypto revolution potential and looks forward to becoming a key business center in this rapidly growing sector.
Global Crypto Adoption Trends
The level of crypto adoption has varied greatly from one nation to another. China enforced huge restrictions, while Japan gave the green signal for educated cryptocurrency investment funds recently. The US also permitted cryptocurrency during the recent days, along with some regulation plans in effect from the SEC. On the other hand, smaller nations like El Salvador have not only adopted its effects but also legalized Bitcoin, the world’s largest cryptocurrency by market share.
Singapore Crypto Stance
Singapore is known for having a positive stance towards cryptocurrency for a long time. Cryptocurrency is an attractive future investment option at this point, even with parameters requiring better definition. The small island country has acquired a reputation as a global finance center. Business prospects need to look for crime prevention, especially illicit money laundering through cryptocurrencies. However, as per the MAS director, this should not be done at the cost of stalling Singapore from gaining an advantage.
Menon says, “With crypto-based activities, it is basically an investment in a prospective future, the shape of which is not clear at this point.” He further iterates, ”But not to get into this game, I think risks Singapore being left behind. Getting early into that game means we can have a head start, and better understand its potential benefits as well as its risks.”
Singapore MAS Crypto Regulation
Ravi Menon, the managing director of MAS, had the following point to make about cryptocurrencies, “ We think the best approach is not to clamp down or ban these things.” MAS, or the Monetary Authority of Singapore, is the regulatory body for banks and finance firms in the country.
Strict Crypto Regulation Laws
Over the past years, Singapore is quickly transitioning into a global hotspot for crypto trading. Along with Miami, Malta, and Zug(Switzerland), the small city-state has become an epicenter for cryptocurrency-related trading activities. The crypto sector is noted for having few regulations. Singapore has decided to address this with strict adherence for crypto-based companies. Regulation laws under the Payment Services Act were brought into effect from January 2020.
There have been over 400 applicants seeking crypto trade opportunities in Singapore. To date, just 3 cryptocurrency enterprises have received the much-revered licenses. Stringent regulation acts have advantages reaching well-beyond a well-balanced crypto sector. With a stable crypto domain, the government hopes to add jobs, employment opportunities, and value to other sectors of the economy as well.
The HashCash Initiative in Singapore
US-based global blockchain development company HashCash Consultants has a significant presence in Singapore’s burgeoning crypto industry. The organization specializes in innovative blockchain solutions for different sectors especially crypto and fintech. The company runs a US-based digital assets exchange, Paybito.
In the past, HashCash has offered customizable white label crypto exchange platforms for interested business enterprises. PayBito provides crypto banking solutions in partnership with a Singapore-based enterprise. HashCash also offers UCOs(Utility Coin Offering), cross-border remittance, corporate B2B payment options, crypto payment processors, along with a host of blockchain innovations for other industrial sectors.
Singapore is pushing forward to have an advantage over other nations in the crypto community. The government sees this as a good employment opportunity and a potential to grow other economic sectors. Unlike other nations, the island state is strict about its crypto-company regulations and does not worry about detractors hoping for easy access.