Introduction
In Singapore, cryptocurrencies are generally regulated as
digital payment tokens ("DPT") under the
Payment Services Act 2019 ("PS
Act"). Currently, DPT service providers are
regulated under the PS Act primarily for anti-money laundering and
countering the financing of terrorism
("AML/CFT") risks, and technology and
cyber risks. Although DPT service providers are not regulated for
consumer protection risks under the PS Act, the Monetary Authority
of Singapore ("MAS") has consistently
issued strong warnings to retail investors that speculative trading
of DPTs (including cryptocurrencies) is not suitable for them. DPT
service providers are required to provide a risk warning to their
customers about trading in DPTs, and are subject to restrictions
concerning the promotion of DPT services at public places.
