Showing 148 Documents for "crypto"
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- MAS
- Parliamentary Replies
Last revised date:
- The turmoil in the cryptocurrency market has not posed financial stability risks in Singapore. Our key financial institutions do not have significant exposures to either distressed cryptocurrency firms or cryptocurrencies more broadly.
- market; and (c) whether there are plans to continue promoting Singapore as a cryptocurrency hub.
- Mr Desmond Choo asked about digital payment token (DPT) service providers and the cryptocurrency market.
- MAS
- Parliamentary Replies
Last revised date:
- Since 2017, MAS has consistently warned that cryptocurrencies are not suitable investments for the retail public. Most cryptocurrencies are subject to sharp speculative price swings. Recent events have vividly demonstrated the risks, with prices of several cryptocurrencies falling drastically. 2.
- MAS reiterates its warning: cryptocurrencies are highly risky and are not suitable for the retail public. People can lose most of the money they have invested, or more if they borrow to purchase cryptocurrencies. ***
- In January this year, MAS went further than most other regulators, to restrict the marketing and advertising of cryptocurrency services in public areas, and disallow cryptocurrency trading being portrayed in a manner that trivialises its risks.
- MAS
- Parliamentary Replies
Last revised date:
- to crypto exchanges or other intermediaries .
- Our approach has worked so far as trading in crypto products in Singapore remains limited and only a small number of retail investors are involved 3 Notwithstanding, MAS has issued circulars to all financial institutions to comply with additional measures if they offer crypto products to retail investors
- MAS is watching these developments closely and is participating actively in international regulatory discussions on how the risks posed by crypto products are best addressed . ***
- MAS
- Speeches
Last revised date:
- MAS’ expectations of crypto service licensees Crypto service providers need to have the ability to manage the risks, have a strong board and management, a strong risk governance culture, and capabilities.
- The primary risk that is inherent in the nature of crypto activities is money laundering and terrorist financing risks. First, MAS expects crypto service licensees to do risk assessment of new products and technologies.
- We have taken quite a tough line on unfettered access to retail public because retail investors should not be dabbling in cryptocurrencies. Many global regulators share similar concerns about retail exposure to cryptocurrencies.
- MAS
- Media Releases
Last revised date:
- Further, even if a crypto exchange is well-managed, cryptocurrencies themselves are highly volatile and many of them have lost all value . 15. The ongoing turmoil in the crypto industry serves as a reminder of the huge risks of dealing in cryptocurrencies.
- The most important lesson from the FTX debacle is that dealing in any cryptocurrency, on any platform, is hazardous . 13. Crypto exchanges can and do fail.
- A third question is whether MAS should exhaustively list on the IAL and provide information on all the offshore crypto exchanges in the world. There are hundreds of such exchanges, and thousands of other entities offshore that accept investments in non-crypto assets.
- MAS
- Speeches
Last revised date:
- Cryptocurrencies have also helped to fuel ransomware – one of the fastest growing crimes in cyberspace. Are cryptocurrencies money? So far, the answer must be no. Cryptocurrencies have performed poorly as a medium of exchange, a store of value, or a unit of account.
- MAS prefers to call them by their more accurate technical name: crypto tokens.
- The word “crypto” comes from the Greek word kryptos – which means “secret”. Indeed, the anonymity of crypto tokens has unfortunately made them well suited for facilitating illicit transactions, including money laundering.
- MAS
- Speeches
Last revised date:
- The question is often asked: does Singapore want to be a crypto asset hub? If a crypto hub is about experimenting with programmable money, yes we want to be a crypto hub. If it is about applying digital assets for use cases like atomic settlement, yes we want to be a crypto hub.
- If it is about tokenising real and financial assets to increase efficiency and reduce risks in financial transactions, yes we want to be a crypto hub. But if it is about trading and speculating in cryptocurrencies, that is not the kind of crypto hub we want to be.
- When deployed on distributed ledgers that are secured by encryption, digital assets are referred to as crypto assets. When they are used as a medium of exchange, people call them cryptocurrencies.
- MAS
- Consultations
Last revised date:
- Crypto exchanges are more likely to be the ones to offer crypto derivatives rather than financial institutions. We seek clarification whether these guidelines will apply to DPT exchanges or other intermediaries.
- And also https://bitcoinexchangeguide.com/td-ameritrade-backed-crypto-exchange- erisx-rolls-out-digital-currency-futures-trading-today/. Accessed at 10:03am (GMT), 18th December, 2019. 16 Available at https://selfkey.org/list-of-cryptocurrency-exchange-hacks/.
- This is also in line with approaches in other jurisdictions (notably, the European Securities and Markets Authority) where products, including cryptocurrency, are subject to a minimum margin requirement (at the time of writing, for cryptocurrencies this is set at 50%).
- MAS
- Speeches
Last revised date:
- Cryptocurrencies are crypto assets which perform a payments function and try to mimic money. Private cryptocurrency is unlikely to perform the functions of money because its value is unstable and it is not backed by the central bank or the government.
- In Singapore and in MAS, we are excited about the potential to build a crypto or tokenised economy. Cryptocurrencies, about which there is so much excitement, is just one sliver of the crypto ecosystem or economy comprising a variety of tokenised assets.
- The regulatory approach that MAS has taken towards crypto assets or tokens distinguishes the different types of such tokens. If a crypto token is being offered as a security with an expectation of a return, it is regulated under the Securities and Futures Act.
- MAS
- Speeches
Last revised date:
- Based on the FSB’s efforts in assessing the financial stability risks of crypto-assets, no crypto-asset has yet reached a scale that could pose a threat to financial stability.
- Yet another notable trend is the significant growth in crypto-asset activities. Globally, crypto-asset activities have grown significantly over this period. Investors may be looking to crypto-assets for potential diversification benefits or trading gains given the low-yield environment.
- MAS’ approach has been to actively caution and educate investors about the risks of crypto-asset products, while continuously monitoring developments in crypto-asset activities and regulatory practices.