Australian crypto exchange known Independent Reserve, has become the first cryptocurrency exchange in Singapore to receive an “in-principle approval” to operate as a fully regulated virtual asset service provider.
In a notice from the city-state’s de facto central bank, the Monetary Authority of Singapore, the exchange was approved under the terms of the Payments Services Act, which came into effect in January 2020 and provides straight forward rules and regulations for crypto exchanges and service providers seeking to operate in the country.
Using the specific terms of the Singaporean framework, Independent Reserve has now been approved, in principle, for receipt of a Major Payment Institution Licence that allows it to provide Digital Payment Token Services. Singapore’s regulatory regime for exchanges requires them to provide adequate consumer protections and comply with anti-money laundering measures, including the Financial Action Task Force’s notorious “travel rule.”
Commenting on the choice of Singapore as the first jurisdiction chosen for the exchange’s overseas expansion, its Independent Reserve CEO Adrian Przelozny said that MAS’ licensing process “provides certainty for us as industry participants and security for our customers.” The future granting of Digital Payment Token licenses in Singapore will, he claimed, continue to ensure the city-state’s competitive position as a financial hub in Asia.
