Singapore Determined to Become the First Country to Fully Embrace Cryptocurrencies and DLTs
Singapore is news again in the business world, and this time the star is the Monetary Authority of Singapore (MAS). During Coindesk’s 2018 Singapore Blockchain Week, the regulator stood out for presenting a reasonably clear vision of the crypto landscape, reinforcing the country’s firm decision to promote the development of blockchain technologies and embrace the use of cryptos and other digital assets as a regular part of its economy.
￼While it is true that the stance of the Monetary Authority of Singapore may come as a surprise to some, the reality is that Singapore provides all the necessary conditions to be a “financial hub” across all Asia. The country’s legal system has allowed it to have rapid development of its economic activity and to be one of the leading business centers of Asia.
Singapore: The Hodlers’ Dream
With such a background, it is not surprising that Singapore aspired to become a crypto-friendly country. Many other countries have already expressed their intention to promote legal changes that would allow a lawful adoption of cryptocurrencies, however, few have demonstrated a real commitment or a concrete idea of how they would regulate the matter.
In this regard, since last year the MAS published a “Guide to Digital Token Offerings” in which they explain in a very clear and detailed way the regulatory framework on which the issuance of digital assets is based without any legal voids or contradictions. The MAS distinguishes between utility tokens, payment tokens, and security tokens.
The unique approach to cryptocurrencies is quite revolutionary. In the words of Damien Pang, Head of the Technology Infrastructure Office under the FinTech & Innovation Group (FTIG) at the Monetary Authority of Singapore (MAS):
“The MAS takes a close look at the characteristics of the tokens, in the past, at the present, and in the future, instead of just the technology built on.
It doesn’t aim to regulate technology itself but [its] purpose,”Sinag
“All In Crypto”
A few months ago, the China Money Network published an article stating that Singapore’s vision is not a simple impulse but a plan that has matured over time to the point that the country is ready to go “all in crypto”;
“What is supporting such optimism is the quiet preparation of capital on a massive scale getting ready to act the “All In Crypto” mantra. “In recent months, there have been over a thousand foundations being established in Singapore by Chinese nationals,” said Chen Xianhui, an agent specialized in helping Chinese clients to register foundations in Singapore. Most of these newly established foundations are used setting up various token investments funds.”