BitGo expands to Singapore following MAS license

Avatar

Singapore skyline.

Cryptocurrency exchange and custodian BitGo launched a subsidiary in Singapore to serve the Asia Pacific (APAC) region just months after receiving a payments license in August.

The launch, announced on Nov. 21, strengthens the California-based firm’s footing within the APAC market

BitGo Singapore aims to cater to both retail and institutional clients, offering regulated custody for over 1,100 digital assets, including the most traded tokens. 

It leverages multi-signature technology and insurance coverage of up to $250 million to secure client assets.

BitGo’s trading service sources liquidity directly from cold storage and collaborates with liquidity providers to ensure competitive pricing and flexible withdrawals.

The company labels itself as the first full-service token management platform tailored to the APAC market.

The firm’s expertise spans nearly a decade in the region, where it has been operational since 2015.

Speaking on the development, CEO Youngro Lee reiterated that BitGo “is committed to providing clients with high-quality products and services while maintaining strict regulatory standards.”

The launch follows BitGo’s approval as a Major Payment Institution (MPI) by the Monetary Authority of Singapore (MAS) in August. This license enables it to offer regulated crypto services locally.

Subsequently, in September, the firm disclosed plans to launch its stablecoin, USDS, aiming to compete with market leaders like Tether and Circle. 

USDS (not to be confused with USDS issues by Sky) will focus on fairness, transparency, and market neutrality, with 98% of profits distributed to ecosystem participants.

BitGo now joins over 25 other firms, including Coinbase and Ripple, that have secured full MPI licenses in Singapore.

Singapore’s progressive approach to cryptocurrencies

Singapore is increasingly positioning itself as a global hub for cryptocurrencies. Its regulatory framework, spearheaded by MAS, supports innovation while ensuring oversight. 

The Payment Services Act is central to this approach, enabling the licensing of foreign companies like BitGo and creating a regulated environment for digital asset services.

For instance, in July, stablecoin issuer Paxos received the MAS license, which allowed it to launch a locally compliant stablecoin dubbed USDG.

Beyond regulation, Singapore has advanced its tokenization initiatives under Project Guardian, which was launched in 2022. The project aims to integrate blockchain into financial services, focusing on asset tokenization and smart contracts. 

Key stakeholders include financial institutions, policymakers, and industry associations from across the globe, who collaborate to develop solutions that enhance the market infrastructure.

Regulators have already laid out plans to drive the commercialization of tokenized assets, focusing on building market infrastructure, expanding liquidity, and implementing frameworks to support cross-border transactions after the region witnessed a surge in demand in areas like fixed income, foreign exchange, and asset management.

The post BitGo expands to Singapore following MAS license appeared first on Invezz


Source link

Total
0
Shares
Leave a Reply

Your email address will not be published. Required fields are marked *

Previous Post

Inflation fears grip Wall Street, but TIPS struggle to attract investors – here’s why

Next Post

Oil prices surge as geopolitical tensions escalate in Russia-Ukraine war

Related Posts