The Monetary Authority of Singapore approves Paxos for crypto services offerings

On Thursday, the Stablecoin issuer Paxos has announced that it has finally got approval from the Monetary Authority of Singapore (MAS) for offering crypto services to local companies. 

The firm said that it had received a license from the financial regulator in the country allowing it to offer blockchain and crypto services under Singapore’s Payment Services Act. Paxos said that the regulatory approval will aim to support its partners in expanding businesses in the Asian region.

We're excited to receive in-principle approval for a Major Payments Institution license from the Monetary Authority of Singapore! @MAS_sg Learn what that means here: https://t.co/cA8oPdTIh0

— Paxos (@Paxos) March 10, 2022

Rich Teo, co-founder and chief executive officer (CEO) of the company said, “We’re excited to have MAS as our regulator, and with their oversight, we’ll be able to safely accelerate consumer adoption of digital assets globally by powering regulated solutions for the world’s biggest enterprises.”

The stablecoin issuer is among the earliest crypto companies to receive a BitLicense which allows it to operate in New York and as a charter from the Department of Financial Services in 2015 when it was operating under the name ItBit.

Back in January 2020, the Binance stablecoin Binance USD (BUSD) received approval from the NYDFS. 

The Office of the Comptroller of the Currency in the United States granted the stablecoin provider a federal charter for the formation of a national trust bank in April 2021.

The tough stance of Singapore

Singapore’s monetary authority reportedly declined 103 out of 170 license applications from crypto firms looking to operate in the country as of December 2021. As TheCoinRise reported at the time, Binance withdrew its application to operate in the country. Companies like Bitstamp Limited, Coinbase Singapore, and Gemini Trust, on the other hand, have been granted an exemption from having to have a license.

Huobi Global said that all Singapore-based users’ accounts would be closed by the end of March. In addition, after the MAS issued guidelines targeting crypto firms promoting services, Singapore reportedly tightened down on crypto ATMs in January.

Paxos is the company behind Paxos Standard (PAX), Binance USD (BUSD), PAX Gold (PAXG), and Pax Dollar (USDP), which were all launched in 2012. In January, Nasdaq-listed Argentine retail and technology giant, Mercado Libre, announced its strategic investment in the parent company of MercadoBitcoin.com and Paxos, 2TM Group, for an undisclosed amount of money.