- “What we are trying to do is to bring the banks and cryptocurrency fintech startups together,” MAS’ Ravi Menon.
- Singapore is among the most crypto progressive jurisdiction in the world.
Singapore is slowly making headway with the integration cryptocurrencies into its economy. Subsequently, the head of the country’s financial regulator as well as de facto central bank recently said that he would like to “bring together’ commercial banks and cryptocurrency entities. This announcement comes after reports of complaints in the country as reported by Bloomberg on October 10.
Ravi Menon, the Managing Director of the Monetary Authority (MAS) told Bloomberg that he is considering developing an environment where crypto businesses can work hand in hand with service providers like banks. He reckoned:
“What we are trying to do is to bring the banks and cryptocurrency fintech startups together to see if there is some understanding they can reach.”
Menon added:
“The nature of this business is a bit different, so banks may need to employ other ways in which they can establish bona fide. I hope we can bring minds together on this so that we can get over this hurdle.”
The head of MAS has come out showing support for the blockchain technology and the crypto currencies. The public acknowledgement, in its own right shows the willingness of the regulators in Singapore to rise above the skepticism and provide a working environment where all businesses thrive whether fintech or crypto related. However, this simply an affirmation from the government of its commitment for providing an enabling environment for the new technology. Moreover, Singapore has been among the most crypto progressive jurisdiction in the world in terms of regulations.
At the same time, Menon insisted that cryptocurrencies are not currencies at all. He referred to the as digital tokens. He went ahead and explained that security tokens operate under the Securities Laws. He also remains aware of the vagueness in the crypto market noting that he understands why some bank executive are not receptive of the crypto businesses.
“Some of these activities are indeed quite opaque,” Ravi emphasized.
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