Digital asset service provider BitGo has become the latest crypto player to receive the Major Payment Institution (MPI) License from the Monetary Authority of Singapore (MAS).
BitGo is pleased to announce that we have obtained the Major Payment Institution Licence from the Monetary Authority of Singapore.
We are committed to meeting the rising demands of client needs in Asia through regulated digital payment token services. This includes our… pic.twitter.com/4DAgKvLVVD
— BitGo (@BitGo) August 8, 2024
Announced Thursday, the license would enable BitGo to offer digital payment token (DPT) services, including custody and trading in Singapore. Notably, MPI license allows for the unlimited payments services provision.
“Singapore’s robust and clear regulatory framework supports our commitment to offering regulated, secure and compliant digital asset services to the region,” BitGo said in a statement.
The news comes a week after over-the-counter trading arm of HashKey Group received the MPI approval from Singapore’s regulator.
BitGo’s Singapore clients would be able to buy and sell crypto assets from the platform’s insured cold storage custody solution.
Youngro Lee, CEO of BitGo Singapore calls the move as “a new era for BitGo’s international operations.”
So far, MAS has granted the major payment institution license to 27 crypto firms, to offer DPT services. These include, Coinbase, Sygnum, StraitsX, Upbit, Paxos, among others.
The crypto custodian BitGo won in-principal approval from the MAS in Jan 2024. The approval came on the heels of obtaining its BaFin license in Germany. Additionally, BitGo also obtained approval from the New York Department of Financial Services (NYDFS) for the New York Trust Charter.
MAS at the Forefront of Crypto Adoption
According to crypto payments provider Triple-A, Singapore stands second following the UAE in crypto ownership percentage with 24.4%. The island-nation boasts one of the highest cryptocurrency ownership rates globally.
Futher, Singapore already boasts a robust regulatory framework that enhances its status as a global financial center. The regulator, in June, released new money laundering risk assessment report, noting that crypto tokens and service providers come under “high risk” financial sectors.
MAS noted that DPTs can be exploited in many ways and there has been an increase in reported cases involving DPTs. In April, MAS tightened its crypto regulatory oversight to encourage the productive use of blockchain technology, while addressing ML risks.
