Singapore positions as Asia’s next cryptocurrency hub

Singapore is emerging as a key destination for cryptocurrency and blockchain companies, doubling its issuance of crypto licenses in 2024 and adopting a regulatory framework aimed at balancing innovation with investor protection.

The Monetary Authority of Singapore (MAS) granted 13 Major Payment Institution (MPI) licenses to crypto exchanges in 2024, more than double the four licenses issued in 2023 to companies like Coinbase, Crypto.com, Ripple, and Blockchain.com.

This proactive approach underscores Singapore’s growing appeal as a global blockchain leader.

“The country adopts a risk-adjusted approach to crypto regulation, focusing on the biggest digital currencies to protect investors. Singapore also makes it easy for new crypto firms to interact with local banking partners, a provision considered a luxury in other parts of the world,” stated William Croisettier, chief growth officer of ZKcandy, highlighted Singapore’s “risk-adjusted” regulatory approach.

A study by ApeX Protocol further emphasises Singapore’s leadership in the blockchain sector.

The country boasts 1,600 blockchain patents, 2,433 industry-related jobs, and 81 cryptocurrency exchanges, outperforming regional competitors like Hong Kong.

While Hong Kong issued its first Bitcoin and Ether ETFs in April 2024 and supports seven fully licensed exchanges, Singapore’s broader focus on innovation and regulatory clarity positions it as a preferred hub.

“With its clear regulations and support for innovation, Singapore attracts top companies and talent, fostering a thriving ecosystem. This proactive approach signals a strong commitment to digital finance, contrasting with Hong Kong's more cautious stance,” noted Mouloukou Sanoh, co-founder of MANSA.

Singapore’s comprehensive efforts to integrate blockchain and crypto solutions into its financial landscape reflect its intent to become Asia’s leading hub for digital finance, drawing talent and investment from around the globe.