Singapore Leads the Way:
Among First to Approve Stablecoin Crypto Regulations. Singapore pioneers stablecoin regulation, ensuring stability against fiat currencies like the US dollar or the Singapore dollar. Stablecoin are often used for trading other cryptocurrencies, remittances, and payments. However, they also pose risks such as money laundering, fraud, and market manipulation. Singapore’s financial regulator, the Monetary Authority of […]
-
by Mike Adams
Share on:
Among First to Approve Stablecoin Crypto Regulations.
Singapore pioneers stablecoin regulation, ensuring stability against fiat currencies like the US dollar or the Singapore dollar. Stablecoin are often used for trading other cryptocurrencies, remittances, and payments. However, they also pose risks such as money laundering, fraud, and market manipulation.
Singapore’s financial regulator, the Monetary Authority of Singapore (MAS), has issued a new framework for stablecoin regulation that sets out some key requirements for stablecoin issuers. These include:
- Holding reserves that back stablecoins in low-risk and highly-liquid assets, such as cash or government bonds. The reserves must equal or exceed the value of the stablecoin in circulation at all times.
- Returning the par value of the stablecoins to users within five business days of a redemption request.
- Providing appropriate disclosures to users, such as the audit results of reserves, the risks involved, and the terms and conditions of use.
- Having a minimum base capital of 1 million SGD or half of the issuer’s yearly operating expenses.
The MAS will recognize stablecoins meeting these requirements as “MAS-regulated stablecoins” and will distinguish them from other unregulated tokens. The framework will apply to non-bank issuers of single-currency stablecoins tied to the Singapore dollar or any other G10 fiat currency if circulation exceeds 5 million SGD. The MAS plans to hold a public consultation on legislative amendments in 2024.
The MAS hopes that this framework will facilitate the use of stablecoins as a credible digital medium of exchange and as a bridge between the fiat and digital asset ecosystems. It also aims to protect consumers and investors from potential harms and ensure financial stability and integrity.
Singapore is not the only country that is looking into regulating stablecoins. Other jurisdictions, such as the US, the UK, and the EU, are also exploring ways to oversee this emerging sector. As stablecoins grow in popularity and influence, it is important to have clear and consistent rules that can foster innovation while mitigating risks.
Experienced Developer with a demonstrated history of working in the computer software industry.
Kamala Harris Goes All In: Crypto and Cannabis
Kamala Harris, Vice President and 2024 presidential candidate, has unveiled an ambitious campaign platform focusing on economic empowerment, federal cannabis legalization, and pro-crypto policies. With this strategy, Harris aims to woo Black entrepreneurs and emerging industries, reshaping perceptions about her stance on innovation and regulation. This “Economy of Opportunities” agenda reflects both political calculation and […]
Is Len Sassaman the Real Satoshi Nakamoto?
Cryptocurrency enthusiasts are buzzing about a possible revelation—could Len Sassaman be the elusive Bitcoin creator, Satoshi Nakamoto? Recent events have sparked a new wave of speculation, with Sassaman’s name gaining attention in a prediction market. Let’s dive into the twists and turns of this latest crypto mystery. The Sassaman-Satoshi Connection: What’s the Deal? Len Sassaman, […]
Miami Crypto King: Alleged Mastermind Behind $230 Million Scam
In the vibrant city of Miami, a drama unfolded that left many scratching their heads and checking their wallets. A local man has found himself at the center of a whirlwind scandal, accused of orchestrating a staggering $230 million cryptocurrency scam. But how did it come to this? Let’s peel back the layers and uncover […]
Most read
