Singapore’s MAS is forcing crypto firms to register for cross-border licenses by June 30 or shut down. | Credit: Chris McGrath/Getty Images.
Share
Key Takeaways
Amid growing concerns over licensing requirements, MAS has clarified that the utility and governance token service providers need not worry.
MAS has given crypto firms just four weeks to register for a license to offer cross-border services.
Service providers pushed back, calling the timeline too short, but MAS held firm during consultations.
The Singapore regulatory body has exempted a few crypto service providers from the licensing obligation, just days after issuing strict licensing requirements for crypto firms offering their services to foreign clients.
In a public notice, the Monetary Authority of Singapore (MAS) announced that firms offering crypto services to overseas clients must register by June 30, 2025, or shut down.
There will be no transition period. Firms operating without a license after the deadline will be considered in breach of the law and face severe penalties.
MAS Exempts Utility and Governance Service Providers
Amid growing fear of losing its operating license, Singapore’s MAS has reassured the cryptocurrency industry that service providers of governance and utility tokens are exempt from the licensing rules.
According to MAS, the new licensing rules apply to a small number of crypto service providers that deal with foreign clients.
The regulatory body’s data indicates that it has issued 33 Major Payment Institution licenses to crypto firms such as Coinbase, Circle, Anchorage, DBS Vickers, FOMO Pay, OKX, HashKey, Upbit, etc.
Singapore issues a payment license to 33 crypto firms—source: Tech Flow.
No Room for Grace
MAS first opened public consultations on the licensing framework back in October 2024.
The message is now clear: get licensed or get out.
The agency laid out the documents, forms, and fees for crypto firms seeking a license.
It also clarified when a license would lapse under the Financial Services and Markets Regulations.
However, MAS warned that only a limited number of applicants would be approved, citing heightened financial crime risks in the crypto industry.
“DTSPs subject to a licensing requirement must suspend or cease carrying on a business providing DT services outside Singapore by 30 June 2025,” MAS said in its announcement.
Industry Pushback Falls Flat
During the consultation process, several crypto firms expressed concern over the four-week deadline, arguing that it’s too short to comply with the new requirements.
Some proposed a grace period, temporary exemptions for applicants under review, or a fast-track process for simple business models.
Others suggested a tiered fee system in which companies pay licensing fees based on the size or scope of their operations.
MAS rejected these proposals, citing the high risk of abuse and money laundering in the crypto sector.
Prashant Jha is a seasoned crypto journalist based in Delhi, India, with a Bachelor’s Degree in Computer Science Engineering. Passionate about the evolving world of blockchain and cryptocurrencies, he has been a dedicated voice in the industry since 2018. Prashant’s expertise lies in regulatory reporting, where he unravels complex legal and financial developments with clarity and precision. Before joining CCN in 2024, he honed his craft at Cointelegraph, establishing himself as a trusted name in crypto journalism.
His coverage spans major industry events, including the high-profile collapses of FTX, Three Arrows Capital (3AC), and LUNA, offering readers insightful analyses of their regulatory and market implications. Prashant’s technical background enables him to bridge the gap between intricate blockchain technology and its real-world applications, making his work accessible to novices and experts.
Beyond his professional pursuits, Prashant is an avid music enthusiast, often exploring diverse genres to unwind. A sports lover, he has a particular passion for cricket and frequently engages in discussions about the game. His multifaceted interests and sharp journalistic instincts make him a valuable contributor to CCN, where he continues shaping the crypto landscape's narrative.
