New Singapore Law Tightens Rules for Crypto Firms

The Singapore Parliament, on April 5, approved a law that will tighten rules and regulations regarding cryptocurrency providers with the aim to sanction licenses to every provider operating business overseas. Reportedly, the authorities of Singapore also stated that virtual asset service providers (VASPs) will need to be licensed, regardless of whether the firm is operating overseas or not. Singapore has approved a law for crypto providers in the latest sign of its tentative "embrace" of the industry. The new legislation will require VASPs in the city-state which only do business overseas to be licensed. How do you see this move? — Anndy Lian (@anndylian) April 5, 2022 Why Are Singapore’s New Laws So Stringent? This is not the first time that the city-state has passed a law that has suffocated the digital growth of Singapore. Recently, Singapore has passed a law to prohibit crypto businesses from advertising to the general public. This was not the scenario in the past when Singapore had a very lenient approach to cryptocurrencies and virtual digital assets. But the city-stated has changed its approach toward cryptocurrency. The city’s Financial Services and Markets Bill states, “Entities that conduct the business of providing digital token (DT) services in Singapore are subject to current legislation regardless of where they are established.” The Objective of the New Crypto Law The aim of the bill is to safeguard Singapore’s r...