MAS outlook on Cryptocurrency

What is MAS' view on protecting users after the collapse of FTX?

According to MAS (Media Releases)
last revised 21 Nov 2022

The Monetary Authority of Singapore (MAS) would like to address some questions and misconceptions that have arisen in the wake of the (FTX) debacle.

2.  A first misconception is that it was possible to protect local users who dealt with FTX, such as by ringfencing their assets or ensuring that FTX backed its assets with reserves. MAS cannot do this as FTX is not licensed by MAS and operates offshore [1] . MAS has consistently warned about the dangers of dealing with unregulated entities.

[1] A further misconception is that if Singapore investors’ assets in FTX had been parked in Quoine Pte Ltd (Quoine), an FTX local subsidiary, they would have been protected. This is not so. Quoine, like other overseas subsidiaries of FTX, has been included in the US bankruptcy proceedings and has halted withdrawals.