By
Bena Ilyas
April 8th, 2024
The new MPI license makes it possible for Blockchain.com to offer regulated digital payment token services to institutions and accredited investors.
On August 1, the Monetary Authority of Singapore (MAS), the Singapore Central Bank, granted Blockchain.com a major payment institution (MPI) license. The crypto exchange is now able to provide accredited customers with digital payment token (DPT) services, thanks to this authorization.
The Monetary Authority of Singapore, the country’s financial regulator, defines a digital payment token as a digital representation of value that lacks physical form and is securely maintained by a blockchain. With this approval, Blockchain.com becomes the twelfth digital payment token (DPT) service provider in Singapore, alongside companies like Crypto.com, Circle, Paxos, Independent Reserve, and Revolut.
The new MPI license grants the exchange approval to offer regulated digital payment token services to institutions and accredited investors in Singapore. This is coming after the company received in-principle approval from MAS last year.
Peter Smith, the CEO and Co-Founder of Blockchain.com, expressed his excitement about the approval, stating:
“We are thrilled to receive this license that will allow Blockchain.com to bring our industry-leading products and services to Singapore, we commend the Monetary Authority of Singapore on its transparent regulatory process that prioritizes crypto industry oversight while allowing innovation to thrive.”
Blockchain.com, which has issued over 99 million wallets and boasts more than 40 million users, is firmly committed to continuous growth and the expansion of its services. The company is presently registered and holds licenses in various regions, demonstrating its dedication to adhering to regulatory standards in diverse markets. Obtaining the Singapore payment provider license stands as a pivotal step toward realizing the company’s overarching goal.
Singapore Seeks to Become the Hub of Web3 Innovation and Development
Additionally, Ripple has received in-principle approval from the Monetary Authority of Singapore for an MPI license. Notably, after receiving in-principle approval, it took Circle seven months to obtain its MPI license. These developments show Singapore’s efforts to position itself as a center for cryptocurrency innovation and services.
The nation has shown its dedication to cryptocurrencies and web3 technologies in a number of ways, including by announcing plans to invest S$150 million in FinTech solutions over the next three years as part of its updated Financial Sector Technology and Innovation (FSTI) Scheme.
In order to develop innovative FinTech solutions utilizing Web3 technologies, Singapore is also extending support to Web3 projects by offering funding and collaboration opportunities. The bank intends to work with significant industry players to achieve this.
In addition to promoting crypto solutions and services, Singapore introduced new regulations in July to protect cryptocurrency users. These regulations include plans to prevent cryptocurrency providers from taking part in staking and lending activities for retail users, and they mandate that cryptocurrency services hold customer funds in statutory trust by year’s end.