It is reported that the highest financial regulator in the Asian country – the Monetary Authority of Singapore (MAS) – intends to implement additional regulatory steps in the cryptocurrency industry to provide maximum protection for investors.
The agency may introduce consumer suitability tests and reduce the use of leverage and credit facilities by retail investors for trading in digital assets.
- Although it aims to become one of the global crypto hubs around the world, Singapore has also demonstrated its intentions to monitor the local digital asset ecosystem more rigorously than most other countries.
- According to a recent report from Bloomberg, MAS may double its previous bases by conducting customer suitability tests. It is also willing to monitor how the retail deals with cryptocurrencies without banning these users from accessing the market.
Banning retail access to cryptocurrencies is unlikely to succeed. The world of cryptocurrency has no limits. There is now greater motivation among global regulators to improve regulation in this area. said the managing director of MAS – Ravi Menon.
- The agency will publicly consult about the changes in October of this year.
- Two months ago, Sopnendu Mohanty – CFS at MAS – stated that the watchdog would be “relentlessly tough and tough” with bad actors in the crypto space.
- Taking further action appears to be a natural step after what happened to several crypto-related Singaporean companies in the past few months. In late June, a court in the British Virgin Islands ordered the liquidation of crypto-hedge fund Three Arrows Capital.
- Shortly thereafter, the company filed for bankruptcy, while its chief executive officer – Su Zhu – was rumored to have left Singapore to escape the consequences of local law. Some reports indicate that he may be currently residing in Dubai.
MAS Singapore post which considers stricter crypto rules first appeared on CryptoPotato.