The Monetary Authority of Singapore (MAS) has clarified that overseas customers providing Digital Token Service Providers (DTSP) must obtain a license by June 2025; otherwise, they will cease operations.
PANews, June 6th news: The Monetary Authority of Singapore (MAS) today clarified the scope of the Digital Token Service Providers (DTSPs) regime. Starting from June 30, 2025, DTSPs that provide digital payment token and capital market product token-related services only to customers outside Singapore will need to obtain a license. The licensing standards set by MAS are high, this type of business carries a high risk of Money Laundering, and the primary regulatory activities occur outside of Singapore, making it difficult for MAS to effectively supervise. Unlicensed entities will cease regulated activities. Providers offering related services to Singapore customers are already regulated, their business scope remains unchanged, and they can also provide services to overseas customers. Other service providers related to utility tokens and governance tokens are not affected by the new regime.
Given the high risk, existing DTSPs that only provide services to overseas clients must cease such activities when the system takes effect. MAS has continuously conveyed its position since February 2022 and has communicated with those who may be affected; the number of such providers is very small.
View Original
The content is for reference only, not a solicitation or offer. No investment, tax, or legal advice provided. See Disclaimer for more risks disclosure.
The Monetary Authority of Singapore (MAS) has clarified that overseas customers providing Digital Token Service Providers (DTSP) must obtain a license by June 2025; otherwise, they will cease operations.
PANews, June 6th news: The Monetary Authority of Singapore (MAS) today clarified the scope of the Digital Token Service Providers (DTSPs) regime. Starting from June 30, 2025, DTSPs that provide digital payment token and capital market product token-related services only to customers outside Singapore will need to obtain a license. The licensing standards set by MAS are high, this type of business carries a high risk of Money Laundering, and the primary regulatory activities occur outside of Singapore, making it difficult for MAS to effectively supervise. Unlicensed entities will cease regulated activities. Providers offering related services to Singapore customers are already regulated, their business scope remains unchanged, and they can also provide services to overseas customers. Other service providers related to utility tokens and governance tokens are not affected by the new regime.
Given the high risk, existing DTSPs that only provide services to overseas clients must cease such activities when the system takes effect. MAS has continuously conveyed its position since February 2022 and has communicated with those who may be affected; the number of such providers is very small.