Amidst talks of regulations, Tharman Shanmugaratnam, Singapore’s deputy prime minister has shed more light on the government’s stance not to ban cryptocurrency. Responding to questions asked by the parliament on Tuesday, Shanmugaratnam released a series of statements that ultimately led to a hands off policy when it came to the growth of cryptocurrency. Looks like he will let the currency bloom to its full potential.
The deputy prime minister released this statement. “The Monetary Authority of Singapore has been closely studying these developments and the potential risks they pose. As of now, there is no strong case to ban cryptocurrency trading here.” He further stated, “But we will be subjecting those involved as intermediaries to our anti-money laundering regulations. And we will keep highlighting to Singaporeans that they could lose their shirts when they invest money in cryptocurrencies.”
In terms of cryptocurrency, Singapore has a similar stance to Japan. Both countries are very open to blockchain technologies and cryptocurrency. They provide an atmosphere that traders can really thrive in. This take is the exact opposite of countries like China and Indonesia which has strict regulations on cryptocurrency. Singapore sees blockchain technology as a way of becoming a technological hub in the world.
“For now, the nature and scale of cryptocurrency trading in Singapore does not pose risks to the safety and integrity of our financial system,” Further, connections between cryptocurrency trading and Singapore’s financial system are also not significant at present. Singapore’s banking system does not have any significant exposure to global and local entities dealing in cryptocurrencies. We hence do not have broader, systemic risk concerns with regard to cryptocurrencies.” The deputy prime minister stated
Ravi Menon, The Monetary Authority of Singapore’s managing director reported to the media that he hopes his assets and the blockchain technology will survive any major crashes. That said, he sounds very confident about the future of cryptocurrency.