🇸🇬Singapore Cryptocurrency Regulations
Progressive regulatory framework under the Payment Services Act and MAS guidelines.
Last updated: 4/19/2025
Regulatory Clarity
Region
Legal Status
Overview
Singapore has a progressive regulatory framework for crypto-assets under the Payment Services Act (PSA) and guidelines from the Monetary Authority of Singapore (MAS).
Regulatory Authorities
Monetary Authority of Singapore (MAS)
Primary regulator for cryptocurrency and digital payment token services
Official Website
Legal Status
Cryptocurrencies are legal in Singapore and are primarily regulated under the Payment Services Act (PSA) of 2019, which came into effect in January 2020.
Taxation
Individual Taxation
For individuals, the Inland Revenue Authority of Singapore (IRAS) generally does not levy capital gains tax on cryptocurrency investments.
Business Taxation
Businesses dealing with cryptocurrencies are subject to normal income tax rules. Companies that receive cryptocurrency payments for goods or services must record the transaction using the market value of the cryptocurrency at the time of the transaction.
Reporting Requirements
There are no specific cryptocurrency reporting requirements beyond normal income tax filing obligations.
AML/KYC Requirements
Under the Payment Services Act, Digital Payment Token Service Providers (DPTSPs) must implement robust AML/CFT controls.
Licensing Requirements
Requirements
Entities providing digital payment token services in Singapore must hold a license under the Payment Services Act.
Process
The licensing process involves submitting an application to the Monetary Authority of Singapore with comprehensive documentation about the business.
Exemptions
Certain entities may be exempt from licensing requirements under specific conditions.
Securities Regulations
Digital tokens that constitute capital markets products under the Securities and Futures Act (SFA) are regulated as securities by the MAS.
Banking Relationships
Banks in Singapore may provide banking services to cryptocurrency businesses, subject to appropriate risk management.
Mining Regulations
Cryptocurrency mining is legal in Singapore, though not widespread due to high electricity costs and space constraints.
NFT Regulations
Non-fungible tokens (NFTs) exist in a regulatory gray area in Singapore.
Stablecoin Regulations
The MAS is developing a specific regulatory framework for stablecoins, distinguishing between single-currency pegged stablecoins (SCS) and other types of stablecoins.
Central Bank Digital Currency (CBDC)
The Monetary Authority of Singapore is actively exploring a retail Central Bank Digital Currency (CBDC) through Project Orchid.
DeFi Regulations
Decentralized Finance (DeFi) platforms face regulatory uncertainty in Singapore.
Data Privacy Considerations
Cryptocurrency businesses must comply with the Personal Data Protection Act (PDPA) when handling customer data.
Dispute Resolution
Disputes involving cryptocurrency in Singapore may be resolved through traditional litigation in the Singapore courts.
Recent Developments
- 2025-03-10Positive
MAS Introduces Stablecoin Regulatory Framework
The Monetary Authority of Singapore has implemented a comprehensive regulatory framework for stablecoins.
Upcoming Regulations
Expanded Digital Payment Token Regulations
MAS is expected to expand the regulatory framework for Digital Payment Tokens to address emerging risks.
Expected: Q3 2025
Resources
MAS Payment Services Act Guide
Official MAS guide to the Payment Services Act and its application to digital payment tokens.
Official Resource