Singapore Implements Stricter Regulations for Unlicensed Crypto Firms, Imposes $200K Fine
The Monetary Authority of Singapore (MAS) has recently introduced stringent guidelines for cryptocurrency firms providing services to overseas clients. Under the Financial Services and Markets Act (FSM Act 2022), all Singapore-based entities, including partnerships, corporations, and individuals, offering digital token (DT) services to foreign users are now required to either obtain a Digital Token Service Provider (DTSP) license or cease their overseas operations immediately.
Non-compliance with these new regulations will lead to severe consequences, including fines of up to SHD 250,000 (USD 200,000) and potential imprisonment for a maximum of 3 years.
Key Highlights from MAS Crypto Regulations:
- No Transitional Period: Existing service providers will not benefit from any transitional phase or staggered licensing approach.
- License Exemptions: Entities that are currently licensed under the Securities and Futures Act, Financial Advisors Act, or Payment Services Act are exempt from the new licensing mandate.