As it stands now, Singapore is one of the new frontiers of the crypto industry. The country has recently opened its doors to the crypto industry by introducing the new Payment Services Act. The policy itself plans on regulating the crypto industry, particularly payments via crypto, as well as crypto trading. It will use regulations that were created by using the country’s traditional fiat regulations as a guideline.
Today’s Regulated Crypto Frontier
Any party that shows interest in opening a crypto business within Singapore’s borders must first apply for the appropriate licenses within it. Of the various licenses, one must get a money-changing license, a standard payment institution license, as well as a significant payment institution license.
As Bloomberg had reported on the 17th of February, 2020, Binance is planning on doing just that. Binance, being one of the world’s largest exchanges with a headquarters in Malta, already has various offices spread across Asia, and holds an aggressive expansion doctrine. The CEO of Binance, Chanpeng Zhao, commented on the matter as a whole. He explained that Binance had already submitted the relevant application rather quickly. He further said that Binance’s Singapore arm remains in close touch with the country’s regulators and that they are open-minded for change.
One of Many Binance Expansions
More than likely, Binance will have to create a new entity altogether to cater to Singapore’s clients, much like it had done with the US. With compliance being different with every country, it’s easier to create a country-specific entity rather than completely restructure the company’s entire business model.
As it stands now, Binance isn’t the only entity to try and push for the new authorizations in Singapore. Two other exchange operators have come forward to toss their hat in the Singapore ring. The first is Liquid, an exchange operator that is situated in Tokyo, Japan. The second is Luno, a London-based exchange.
Binance has been making a very aggressive expansion since its inception. If you open news about an exchange expanding into a country, the odds of it being Binance tends to be higher than cryptocurrency exchanges. For the most part, the company’s expansion policy has only done it good, with the exchange itself already known for its massive selection of crypto to choose from.
Singapore is simply the latest target in a modernizing world, with crypto taking its place as a staple in the finance industry as a whole.