Nature of DPT service

The Payment Services Amendment Act (to be enacted) will expand the definition of DPT service to include the transfer of DPTs

"Transfer of DPTs: As bad actors could use entities that facilitate the transfer of DPTs to move or layer the proceeds of illicit assets by transferring value in the form of DPTs from one person to another, the proposed amendments expand the definition of “digital payment token service” to include:

• Any service of accepting DPTs from one DPT address or account, whether in Singapore or outside Singapore, as principal or agent, for the purposes of transferring, or arranging for the transfer of, the DPTs to another DPT address or account, whether in Singapore or outside Singapore; and

• Any service of arranging for the transmission of DPTs from one DPT address or account, whether in Singapore or outside Singapore, to another DPT address or account whether in Singapore or outside Singapore."

Source: Allen & Gledhill, last revised on 22 Jan 2020