Ravi Menon, managing director of the Monetary Authority of Singapore (MAS), wants to “establish Singapore as a creative and responsible global digital asset centre.”
The central bank of Singapore aims to encourage a digital asset ecosystem while limiting cryptocurrency speculation.
The Monetary Authority of Singapore (MAS) hopes to enforce stronger protections for retail crypto investors in the country and eliminate the stigma surrounding cryptocurrencies being “heavily speculated upon” while their prices “have nothing to do with any underlying economic value”.
The central bank intends to concentrate on supporting the digital asset ecosystem that supports actual assets like real estate and carbon credits as well as intangible ones like cash and bonds, artwork, including non-fungible tokens, and financial assets like cash and bonds.
According to MAS managing director Ravi Menon, “Cryptocurrencies have taken on a life of their own outside of the distributed ledger and this is the basis of the difficulties in the crypto world.”
Due to the general market collapse and the liquidation of significant crypto firms like Three Arrows Capital (3AC) and Vauld, regulators in the nation have been stricter with cryptocurrency legislation and rules.
The demise of the aforementioned businesses serves as a warning, particularly for MAS, as the Singapore regulator had connections to both.