Singapore Sets June 30 Deadline for Unlicensed Crypto Firms Serving International Clients

The Monetary Authority of Singapore (MAS) has mandated that all local cryptocurrency firms operating without a Digital Token Service Provider (DTSP) license must cease serving overseas clients by June 30, 2025. The regulator emphasized that no transitional period will be granted, and non-compliance will result in penalties.

On May 30, MAS announced it WOULD publish the commencement notification for the Financial Services and Markets (FSM) Act, along with finalized guidelines, at least four weeks before the DTSP Provisions take effect. The regulator also outlined scenarios under which a DTSP license could lapse under the FSM regulations.

Earlier, on October 4, 2024, MAS proposed regulatory guidelines for DTSPs under the Financial Services and Markets Act 2022, citing heightened risks of money laundering and terrorism financing due to the cross-border nature of crypto services. The proposal followed April 2024 requirements for anti-money laundering (AML) and counter-terrorism financing (CFT) measures for digital payment token service providers.

MAS will evaluate firms based on their ability to justify not offering DT services in Singapore despite operating within the jurisdiction. The MOVE underscores Singapore’s tightening grip on crypto regulation amid global scrutiny of the industry.