Reed Smith Client Alerts

Key takeaways

  • MAS indicates that stablecoin regulations are on the way
  • Responsible use of AI will continue to be encouraged
  • MAS continues to monitor the economy using monetary policy as a tool

作者: 陈川首 Hannah Kong Eng Han Goh (Resource Law LLC)

Network business connection system on Singapore smart city scape in background

Introduction

The Monetary Authority of Singapore (MAS), the central bank and financial regulator of the city-state, has recently shared some insights on its upcoming regulatory focus and priorities for the fintech sector and the broader economy. In a recent interview, MAS chief Chia Der Jiun provided insights into the challenges and strategies facing Singapore’s economy, particularly regarding inflation, cryptocurrency, and artificial intelligence (AI). His interview highlighted MAS’s proactive measures in navigating a complex global economic landscape in the near and medium term.

Digital currency initiatives

The regulatory environment for cryptocurrencies remains a priority, with MAS favouring a balanced and calibrated approach to regulating crypto assets and activities, recognising their potential benefits and the risks associated with innovation, financial inclusion, and stability. MD Chia outlined that MAS is committed to ensuring robust risk management and consumer protection while fostering innovation within the fintech sector. This includes developing regulations for stablecoins to ensure their stability and reliability in value. MAS has established a legal framework for crypto service providers under the Payment Services Act, which requires them to comply with anti-money laundering and counterterrorism financing rules, as well as consumer protection and cybersecurity standards, and has issued over 200 Major Payment Institution licences under the Act, reflecting its commitment to a regulated yet progressive approach to digital assets.