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Singapore Considers New Restrictions Against Crypto Firms

The Monetary Authority of Singapore (MAS) is considering new ways to protect consumers and reduce risks associated with companies cryptocurrencies. The new MAS rules could include client suitability tests and reduce the use of leverage and credit facilities by retail investors who want to trade these digital assets.

According to a report According to Bloomberg, the authorities have already established regulations on the advertising Y trading of cryptocurrencies. New regulations are being considered to further safeguard consumer interests and reduce risks.

Cryptocurrency platforms are currently licensed as digital payment token (DPT) services under the Payment Services Act.

This allows the regulatory authority to take additional steps to ensure that better consumer protections are in place, financial stability is maintained and the effectiveness of the regulation is not compromised. monetary politics.

This follows the collapse of the hedge fund Three Arrows Capital (3AC), which was fined by the MAS for providing false information and for exceeding your asset management limitas well as a subsequent warning from the agency.

Cryptocurrency regulation in Singapore

The government of the Asian country has created the Monetary Authority of Singapore to regulate and manage virtual currencies. The public is increasingly concerned about cryptocurrency investment scams, and the regulator steps in to provide oversight and standards to the people.

The Monetary Authority of Singapore has continually emphasized to investors that cryptocurrencies are highly dangerous and investments are not suitable for the public.

In January, the MAS issued suggestions limiting public advertising of the services of trading of cryptocurrencies. Following the ban on cryptocurrency ATMs in Singapore in January, the operators of those machines began to shut down their equipment.

Singapore is working to be known as the go-to place for technology blockchain and innovation in cryptocurrencies. With a clear regulatory system with well-defined laws, Singapore has been attracting crypto companies from all over the world.

legislative changes

Chief Minister Tharman Shanmugaratnam, the minister in charge of MAS, recently addressed concerns about whether Singaporeans were exposed to the earth collapse.

Although Tharman said that “MAS is currently reviewing its strategy for the regulation of stablecoins“, more changes may be on the way for the industry as legislation tightens.

In the meantime, land believes that judicial management is the best long-term course of action for its users, considering current market conditions.

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