Singapore to Unlicensed Crypto Firms: Pack Your Bags by June 30 or Face the Music

Regulators drop the hammer—no more gray-area operations for offshore crypto platforms serving Singaporeans.

The Monetary Authority of Singapore (MAS) isn’t playing nice: unregistered firms must wind down overseas operations targeting local investors within weeks. No extensions, no ’but we’re decentralized’ excuses—just a hard exit by deadline.

Another win for compliance theater? Maybe. But at least it’s clearer than most regulators’ ’guidance’ that reads like a horoscope.

Singapore Warns Against Overseas Workarounds by Unlicensed Firms

In its official response to industry feedback, MAS said that cross-border services offered without regulatory clearance could expose users to unfair practices and raise the risk of financial misconduct.

It rejected calls for a phased transition, noting that firms have been aware of these requirements since the consultation process began and should already be in position to comply. MAS added that its approach balances consumer protection with the aim of fostering a SAFE digital asset ecosystem.

MAS also clarified that the prohibition applies regardless of whether overseas services are provided directly or through intermediaries. It warned that attempts to circumvent the rules by relocating parts of operations abroad while continuing to manage them from Singapore WOULD be considered non-compliant.

Singapore Sees Uptick in Digital Asset Use While Tightening Rules

To reinforce accountability, MAS stated it will actively monitor and investigate suspicious setups that appear designed to bypass licensing.

This regulatory crackdown unfolds as more Singaporeans embrace digital assets. A Straits Times report published in April found that 26% of Singaporeans owned digital assets in 2024, up from 24.4% the year before. Adoption is highest among younger generations, with nearly 40% of Gen Z and millennials holding cryptocurrencies.

Among crypto holders, 52% have used digital tokens for payments, and 67% plan to do so in future.

The most common uses include online shopping, bill payments and in-store purchases. Older users tend to favor peer-to-peer transfers to friends and family, particularly across borders.

Despite increasing usage, concerns remain. More than 60% of respondents in the survey said crypto is still too complex to use, while 54% cited limited merchant acceptance as a major barrier.

Even so, crypto transaction volumes are on the rise, placing Singapore at the center of Asia’s regulated digital finance push.