Singapore Authorities Tighten Measures Towards Crypto Industry

Singapore’s MAS To Introduce Restrictions Over Crypto Trading
  • MAS demanded that crypto platforms provide information about their operations.
  • Information on the most staked tokens on DeFi be made available was demanded.

Regulators have chosen to examine more closely at the cryptocurrency industry in light of recent developments like the increasing adoption of cryptocurrencies and the subsequent market collapse. It seemed that Singapore placed a high priority on citizen safety.

The Monetary Authority of Singapore (MAS) has been making waves in the financial world over the last several months. MAS is stricter than ever, with measures ranging from restricting the participation of regular investors to flat-out rejecting applications for crypto licenses. The power of the regulator was bolstered when it demanded that crypto platforms provide information about their operations.

Recent Collapses Crucial Factor

Bloomberg reports that regulators have been pressuring companies to provide information about their tokens, top lending and borrowing counterparties, and loan amounts. It was also asked that information on the most staked tokens on DeFi be made available.

Given the recent collapse of several cryptocurrency services, this is not surprising. Several struggling crypto companies, including TerraForm Labs, Three Arrows Capital, Vauld, Hodlnaut, and Zipmex, have been brought to the attention of the regulator.

The global growth of cryptocurrency has prompted governments to implement restrictions. Some of them, however, often overregulate the sector, which further stifles innovation. It seems that although most countries have found this equilibrium, Singapore has not yet.

The cryptocurrency market was designed with the common consumer in mind. Additionally, Singapore has issued roughly ten licenses to cryptocurrency platforms so that they may operate in the region. It’s worth noting that this was the case out of a total of 200 that applied.

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