The Monetary Authority of Singapore (MAS) has revealed that less than half of the companies that applied last year for their crypto permits are now left on the waitlist, operating with an exemption, and waiting to get approved by the authorities.
Two Crypto exchange giants, Coinbase Global Inc. and Binance Holdings Ltd. are among the remaining 70 firms, out of the former 170, that applied last year to get registered in Singapore to legally provide crypto services.
While Singapore authorities seek financial innovation through the decentralized sphere, they also remain cautious of crypto’s high-risk, volatile nature and have declared to maintain strict regulatory oversight. According to Bloomberg, MAS managing director, Ravi Menon commented against many retail-focused trading businesses, noting that they pose manifold risks including, price swings and illicit flows.
“We don’t need 160 of them to set up shop here. Half of them can do so, but with very high standards, that I think is a better outcome,” said Menon.
Huobi Shutdown in Singapore
Singapore authorities’ strict approach towards crypto exposure in their financial markets has also led to leading players quitting the race. CoinGape’s yesterday reportage revealed that the eminent crypto exchange, Houbi announced the suspension of its crypto services in Singapore in lieu of increasing regulatory oversight. The crypto exchange giant added Singapore to its “restricted jurisdiction” list, giving compliance with the country’s laws around digital assets as the reasoning for its exit. Huobi’s crypto services will see a phased shutdown in Singapore and will be completed suspended at the end of March next year. The company has advised its Singapore customers, to begin liquidating and closing their accounts before March 31, 2022.
“We will be closing the accounts of all Singapore-based users on March 31, 2022. Access to our services by Singapore-based users will also be gradually phased out prior to March 31, 2022. All Singapore-based users should take immediate action to close out all active positions and withdraw all digital assets before March 31, 2022. We apologize for any inconvenience caused and thank you for your past support.”