How To Create A Digital Asset Ecosystem In Singapore – Legal Considerations And Requirements

Understanding the Regulatory Framework

Singapore does not have a single regulatory regime governing digital assets; rather, regulations depend on the nature of the assets and activities involved. Businesses looking to operate in the digital asset space must comply with the following laws:

• Payment Services Act (PSA)which regulates cryptocurrency-related activities, particularly Digital Payment Tokens (DPTs).
• Securities and Futures Act (SFA)which is responsible for governing digital tokens that qualify as "securities" or "capital markets products."
• Financial Services and Markets Act (FSMA)which provides additional oversight for digital token services.
• Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) laws