{"id":13404,"date":"2022-08-29T10:37:57","date_gmt":"2022-08-29T10:37:57","guid":{"rendered":"https:\/\/nftandcrypto-news.com\/crypto\/mas-doesnt-trust-retail-crypto-investments-mulling-more-regulations\/"},"modified":"2022-08-29T10:37:59","modified_gmt":"2022-08-29T10:37:59","slug":"mas-doesnt-trust-retail-crypto-investments-mulling-more-regulations","status":"publish","type":"post","link":"https:\/\/nftandcrypto-news.com\/crypto\/mas-doesnt-trust-retail-crypto-investments-mulling-more-regulations\/","title":{"rendered":"MAS doesn\u2019t trust retail crypto investments, mulling more regulations"},"content":{"rendered":"

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The managing director of the Monetary Authority of Singapore (MAS), Ravi Menon, addressed the agency\u2019s mixed signals on crypto in the public sphere at a seminar on Aug. 29.<\/p>\n

The public claimed that local regulators were spreading crypto-positive sentiments while simultaneously threatening more regulations. According to the new statement from Menon, the observation is not entirely wrong. He says the agency needs to do \u201ca better job explaining\u201d the situation. <\/p>\n

Overall, MAS is pro-digital assets, as directly stated by Menon, “yes to digital asset innovation, no to cryptocurrency speculation.” Regulators want the island country to become a hub for fintech innovation and distributed ledger activity.<\/p>\n

Though according to recent statements, where the problem lies is within cryptocurrencies themselves.<\/p>\n

This is where MAS\u2019 “stringent and lengthy licensing process”\u00a0for crypto services comes into play, Menon explains. It also is the reason for warnings against cryptocurrency retail investments and restrictions on retail cryptocurrencies.<\/p>\n

\u201cCryptocurrencies have taken a life of their own outside of the distributed ledger \u2013 and this is the source of the crypto world\u2019s problems.”<\/p><\/blockquote>\n

Regulators cite the extreme volatility of the crypto market, which rules them out from being considered viable currency or an investment asset. MAS claims that the price of said currencies does not correlate with \u201cunderlying economic value related to their use on the distributed ledger.”<\/p>\n

Related: <\/u><\/em><\/strong>Singapore venture firm launches $100M Web3 and metaverse fund<\/em><\/strong><\/p>\n

These comments come after a string of recent developments from local Singaporean authorities on the topic of digital currencies. On Friday, Aug. 26, MAS sent out questionnaires to clients on business activity and holdings ahead of any final decisions.<\/p>\n

Crypto trading platform\u00a0Crypto.com scored approval from regulators in Singapore to set up operations in the country on June 22.<\/p>\n

In July, it already had its eye on limitations to retail participation in cryptocurrency-related activities.<\/p>\n