Singapore now requires the exchange of encryption that only serves external customers to obtain a license

The central bank in the country in the city said last month that the DigSPs service providers who only serve customers abroad must have a license to continue the past operations on June 30 or a closer store.

The Monetary Authority in Singapore added in a later statement that it “put the tape high for licensing and will not generally issue a license” for such operations.

Singapore, a major Asian financial center, has achieved great success for her reputation after several recent prominent cases in the emerging encryption sector.

This included the collapse of the hedge fund from the cryptical currency Three Arrows Capital and Terraform Labs, which are both bankruptcy in 2022.

The central bank said, referring to companies that serve foreign customers only: “The risk of money laundering is higher in such commercial models, and if its objective organized activity is outside Singapore, MAS is unable to effectively oversee these people,” referring to companies that serve foreign customers only.

Analysts welcomed the move to tighten controls for the exchange of encryption.

“With the new DTSP system, MAS enhances that financial integrity is a red line,” said Chengyi ONG, the head of the Asia Political Policy in the Crypto Data Group, to Agence France -Presse.

“The aim of this is to isolate Singapore from the reputable risk that the Chefir Company is based in Singapore, which operates without adequate supervision, is involved on purpose or unaware in unconditional activity.”

Lawyer Gibson, Den and Wrafter said in a comment on its website that this step “will allow Singapore to be completely compatible with the requirements of the financial business squad, which is to monitor global money laundering, based in France.

Three Capital Capital for bankruptcy was provided in 2022 when her fortunes suffered from a sharp drop after huge sales of assets that have bet on prices in the encryption markets.

Her co -founder in Singaporei Soo Zhou was arrested at Shanki Airport while trying to leave the country and imprison him for four months.

Later, a British Virgin Islands court requested $ 1.14 billion worldwide to freeze assets to the company’s founders.

Singapore -based Terraform Labs witnessed the disruption of cryptocurrencies in 2022, forcing them to provide bankruptcy protection in the United States.

Terrausd and Luna collapsed with investments of about $ 40 billion in investments and caused wider losses in the global encryption market estimated at more than $ 400 billion.

South Korea de Coon, which co -founded Terraform in 2018, was arrested in 2023 on Montenegro and was later delivered to the United States on charges of fraud related to the accident.

He was fleeing after fleeing from Singapore and South Korea.