Singaporean authorities have recently granted a total of 190 Major Payment Institution Licenses, out of which 11 have been awarded to Digital Payment Token companies. In a recent announcement, Ripple disclosed that it has obtained preliminary approval for a Major Payments Institution License from the Monetary Authority of Singapore (MAS), which serves as the central bank and regulatory body of the nation.
To date, the Monetary Authority of Singapore (MAS) has granted a total of 190 Major Payment Institution licenses and 11 Digital Payment Token Service licenses. According to reports from local media, MAS has received over 680 applications for payment services licenses since January 2020. Among these applications, 17 have been rejected, and 214 applicants have voluntarily withdrawn their applications.
In December 2021, Binance made the decision to withdraw from Singapore and subsequently canceled its application for a Digital Payment Token license. This development marked a notable event in the country’s digital payments landscape.
Ripple Optimistic About MAS Grant, Expanding Opportunities in Singapore
According to Ripple, this license will enable its Singapore branch to provide regulated digital payment token products and services while expanding the adoption of its crypto-enabled On-Demand Liquidity (ODL) platform by customers. Remarkably, the platform has experienced a substantial five-fold growth in the country over the past year.
Stu Alderoty, Chief Legal Officer of Ripple, expressed satisfaction with Singapore’s progressive approach to regulating digital assets during an interview with CoinDesk. He commended the licensing framework implemented by Singapore, emphasizing its ability to establish a clear classification system for digital assets. The framework effectively strikes a balance between safeguarding consumers’ interests and preserving market integrity, all while fostering an environment conducive to innovation and investment.
Ripple has reported a significant surge in its Singapore office’s workforce, experiencing a notable 50% year-on-year increase in staff members, totaling 50 full-time employees. The company has been actively hiring in various crucial areas such as business development, compliance, finance, legal, and sales to bolster its presence in the country.
According to Stu Alderoty, this expansion is primarily driven by Ripple’s ability to tap into the flourishing licensed digital assets market in Singapore. He expressed confidence in Singapore’s capability to attract responsible participants in the industry. With the Major Payments Institution License obtained, Ripple joins the ranks of reputable entities like Coinbase, Circle, and others that possess genuine business operations, tangible products, and the capacity to adhere to regulations once they are clearly defined.