Singapore’s regulator is seeking to limit cryptocurrency operators from advertising their services to the general public within the country.
In a press statement, the Monetary Authority of Singapore (MAS) released new guidelines that aim to stop retail speculation for various assets that are known to be volatile.
Consequently, MAS stated that the previous advertisements channels like online platforms, physical advertisements, and the provision of physical automated teller machines (ATM) in public areas would no longer be used.
The entities should only make adverts on their websites, mobile applications, or official social media accounts. Despite the ban, MAS stated that it still supports the innovative aspect of blockchain technology.
“MAS strongly encourages the development of blockchain technology and innovative application of crypto tokens in value-adding use cases. But the trading of cryptocurrencies is highly risky and not suitable for the general public. DPT service providers should therefore not portray the trading of DPTs in a manner that trivialises the high risks of trading in DPTs, nor engage in marketing activities that target the general public,” said MAS Assistant Managing Director Loo Siew Yee.
The guideline affects businesses, including banks, payment service providers, and crypto exchanges.
Singapore’s strict crypto regulation framework
In recent months, MAS has increasingly promoted the innovative aspects of the blockchain but has consistently warned investors against engaging in cryptocurrency trading.
For instance, as reported earlier by Finbold, Ravi Menon, the Managing Director of MAS, questioned the status of cryptocurrencies to act as money. He also criticised cryptocurrencies’ ability to act as a store of value stating that they have failed in many aspects.
With a strict cryptocurrency regulatory environment, several high-profile players, including Binance, have remained skeptical in operating in the country. In December last year, Binance withdrew its application for a crypto permit and planned to shut down its operations in the country by Feb 13.