Singapore imposes June 30 deadline for crypto firms offering overseas services
Singapore's central bank mandates that local crypto service providers must cease offering digital token services to overseas markets by June 30, 2025. This directive follows feedback on the regulatory framework for Digital Token Service Providers (DSTPs) under the Financial Services and Markets Act of 2022. No transitional arrangements will be provided, and companies must either stop operations or obtain a license. Violators face fines up to 250,000 Singaporean dollars (approximately $200,000) and potential imprisonment of up to three years. Only firms licensed or exempted under existing financial laws may continue operations without conflicting with the new rules. The Monetary Authority of Singapore (MAS) emphasizes heightened regulatory concerns regarding Anti-Money Laundering (AML) and Counter-Terrorist Financing (CFT), indicating that licenses will be granted only in rare cases. This regulatory tightening aims to address cross-border risks associated with crypto activities and prevent exploitation of regulatory gaps by firms registered in Singapore but operating abroad.
