SINGAPORE: Singapore authorities awarded a licence to crypto market maker GSR Markets, a rare step in the digital-asset sector where liquidity providers globally still largely operate without regulatory permits.
“The company is one of the first of its kind to be granted a Major Payment Institution licence from the Monetary Authority of Singapore (MAS),” Xin Song, chief executive officer of GSR Singapore, said in a statement.
The licence will allow the firm to carry out its spot over-the-counter and market making services within the city-state’s regulatory framework. GSR had received an in-principle approval from MAS in September.
Singapore is taking steps to make it easier for financial institutions to experiment with blockchain technology as part of plans to build out a digital-asset hub.
Already established as a centre for finance, the city-state hopes to attract potential disruptors such as virtual-asset firms and is competing with the likes of Hong Kong and Japan to lure them.
At the same time, authorities have sought to curb speculative crypto bets by mass-market retail investors after blowups in the sector during the 2022 bear market.
Earlier this week, Singapore widened the scope of its digital-asset regulation to custody as well as to all firms handling crypto-related fund transfers regardless of whether they come into possession of the money or tokens. — Bloomberg
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