Singapore denied licenses to over 100 crypto companies

Brief:

  • Singapore withdraws tax credits y 120 companies in the crypto-sphere and refuses licensing
  • The state authorities insist on the implementation of measures to protect investors from illegal transactions
  • Due to the new policy some large players are leaving the market

From Monday, 0021 December, Monetary Authority of Singapore (MAS) announced the ban on the work of a number of companies. Obtaining a license turned out to be not so easy, due to the strict requirements for players in the crypto sector, and 108 organizations that provide services for servicing digital payment tokens were found to be without financial benefits.

Among them crypto-exchange Bitxmi from UAE . According to CEO Sanjay Jain, the new policy has forced the company out of the market:

“We are curtailing our activities in Singapore. We still have an office there, but there is only one person in it who deals with legal nuances and does accounting. ”

The department also published a list of those companies that have lost their tax benefits. In particular, these are the same Bitxmi, the BitGo Singapore trust fund, the branch of the digital bank Revolut Technology Singapore and the South Korean blockchain company Klaytn.

The reason for such a strict management policy lies in the risks of the cryptocurrency sphere. Digital assets can be used to finance illegal operations, money laundering and terrorist attacks, according to a ministry spokesman.

The position of the Singaporean authorities on this issue is extremely unambiguous – companies in the crypto sector must ensure that measures are taken to mitigate these risks.

And despite the fact that Singapore is actively introducing cryptocurrency into the country’s economy and positioning itself as a global crypto hub, “tight regulation” puts companies in a framework in which this sector cannot exist.

In particular, we are talking about checking the personal data of customers and their transactions, tracking suspicious transactions and notifying the authorities in case of fixing illegal transactions. We previously announced that the Binance Singapore branch will be liquidated. Users have until February to withdraw all assets, otherwise they will be blocked.

Dima is a managing editor and news writer. 5 years in content management. He makes sure that only high-quality information, truthful news and interesting articles get to the site. You can contact him through @IncryptedNewsBot.

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