Bitstamp Ready To Operate In Singapore With Digital Asset License

The Bitstamp crypto exchange is starting to operate in Singapore. (Photo; Doc. Bithub)

JAKARTA - Bitstamp, one of Europe's oldest and largest crypto exchanges, has received preliminary approval from the Monetary Authority of Singapore (MAS) to provide digital asset services in the country. This is a strategic step for Bitstamp to expand its market and products in the Asia-Pacific region.

In an announcement released on March 6, Bitstamp said that this initial approval was part of the licensing process for major payment institutions under the Payment Service Act. Previously, Bitstamp operated in Singapore with the temporary exclusion status of the law.

With this approval, Bitstamp can offer cross-border money transfer services and digital payment token exchanges, both fiat and crypto, in Singapore and several other countries in Southeast Asia. Bitstamp also plans to launch new products and features that suit the needs and preferences of customers in the region.

Commitment To Comply With Regulations

Leonard Hoh, General Manager for Asia-Pacific at Bitstamp, said that this agreement demonstrates Bitstamp's commitment to comply with the high regulatory standards in each market they enter. He also highlighted the huge potential of the digital asset market in Singapore, which is supported by friendly regulatory and commercial environments.

"Singapore is one of the global financial hubs and has a clear vision of how digital assets can integrate with traditional economies. We are pleased to be able to contribute to the vision and offer our services to customers here," said Hoh.

Jean-Baptistegraphieaux, Chief Executive Global Bitstamp, added that this approval is an important milestone for Bitstamp in their efforts to become a trusted global crypto exchange. He also appreciated the good cooperation with Singapore regulators during the application process.

"We thank MAS for their support and guidance during this process. We look forward to working with them to promote the adoption of digital assets in Singapore and its surrounding areas," said Grafieaux.

Bitstamp Supported By Strong Market

This approval comes amid favorable market conditions for Bitstamp and the crypto industry as a whole. The total value of the crypto market has hit a record high above $2 trillion in early March, driven by growing interest from retail and institutional investors.

One of the factors driving market growth is the development of clearer and more supportive regulations in various countries. For example, the European Union has proposed a new framework to regulate the crypto market by 2024, which is expected to increase trust and transparency in this sector.

In addition, the United States Securities and Exchange Commission (SEC) has approved several Bitcoin-based exchange-traded funds (ETF), which allow investors to access the crypto market through more conventional and regulated instruments.

Bitstamp itself has been one of the main infrastructure providers for the crypto market since its founding in 2011. Bitstamp offers trading, storage and payment services for various digital assets, including Bitcoin, Ethereum, Solana, XRP, and others.

Bitstamp is also one of six exchanges that provide market data for the CME CME Bitcoin Reference Rate, an index used to determine the price of Bitcoin ETF in the United States. In addition, Bitstamp also supports various stablecoin-based products and services, namely cryptocurrencies whose value is tied to fiat currency or other assets.

In December 2023, Bitstamp was chosen by Societe Generale-Forge, a subsidiary of French bank Societe Generale, as a platform to issue their first stablecoin euro, namely EUR CoinVertible (EURCV), on the Ethereum network.

With preliminary approval from Singapore, Bitstamp added to the long list of licenses and registrations they already have in various global markets. Bitstamp has obtained its first license in Luxembourg in 2016, allowing them to operate across the European Union.

Bitstamp has also obtained licenses and registrations in the United Kingdom, the Netherlands, and the United States, as well as adhered to strict compliance and security standards in every country they operate in.