On January 20, 2022, new guidelines in Singapore were issued banning cryptocurrency trading service providers from promoting their services to the general public, with ATMs being singled out for providing such access and convenience that may mislead the public into trading in digital payment tokens (DPTs) on the spur of the moment.
The document states that crypto service providers may market their services on their own business website, mobile applications, or official social media profiles, but they must not minimise the hazards of trading digital assets.
Singapore has long been lauded as a progressive, forward-thinking country that encourages technology and innovation.
This has attracted a slew of cryptocurrency and blockchain businesses, attracted by the country's seeming openness to the industry. However, these businesses are now encountering barriers and are finding it difficult to operate in the city-state.
Operators of crypto ATMs were compelled to shut down their machines just a few weeks ago when the Monetary Authority of Singapore (MAS) banned cash-to-crypto terminals.
The decision is part of a broader crackdown on cryptocurrencies being advertised to the general population, which MAS says should not be encouraged to engage in digital asset trading.
As the city-state attempts to find a balance between the benefits of financial innovation and the risks that come with it, Singapore regulators are expected to continue to close attention to cryptocurrencies.
Due to continued interest in areas such as buy now, pay later, embedded banking, and open banking aligned solutions, the payments industry has remained strong.
Singapore regulators are ramping up efforts to regulate speculative crypto assets. Despite increased crypto regulation in Singapore cryptocurrency investment is expecting to continue to increase.