Singapore tells crypto firms not to market services to the public

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This illustrative photograph shows a physical banknote and imitation coins of the Bitcoin cryptocurrency. (Photo: AFP)

Singapore’s financial regulator has told companies in the cryptocurrency industry to refrain from advertising their services to the public, in line with the city-state’s drive to curb retail speculation in digital assets. volatile.

Service providers should only market their business on their own websites, mobile apps or official social media accounts, the Monetary Authority of Singapore said in a statement on Monday.

The directive will cover a wide range of businesses, from banks to payment service providers and crypto exchanges.

“MAS observed that some DPT service providers have actively promoted their services through online and physical advertisements or through the provision of physical ATMs in public areas,” the regulator said, referring to what he calls digital payment tokens his preferred terminology. for cryptocurrencies. This could fuel speculation among traders who do not fully grasp the risks, MAS said.

By embracing crypto, Singapore is trying to balance the benefits of financial innovation with the risks stemming from retail traders investing in tokens that are prone to large price swings. Some billboards advertising digital asset exchanges in the city-state last year have since been taken down.

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