TechFlow reported that according to Cointelegraph, the Monetary Authority of Singapore (MAS) updated the National Counter-Terrorism Financing (TF) Risk Assessment (NRA) and the National Counter-Terrorism Financing Strategy (CFT) on July 1, raising the risk level of crypto trading platforms from medium-low to medium-high. The update aims to prevent terrorist organizations from using Singapore as an international financial, commercial and transportation hub to conduct terrorist financing activities.
According to the new assessment, the risk level of crypto trading platforms (i.e. digital payment token service providers) has been raised, while cross-border online payments are still considered high-risk channels. A previous report had already listed digital payment tokens as high risk. Singapore's latest Anti-Money Laundering National Risk Assessment (MLNRA) pointed out that digital payment token service providers have serious risks and loopholes in anti-money laundering.
MAS has been actively regulating the digital asset market and expanded the scope of regulated payment services to cover digital token service providers a few months ago, thereby strengthening requirements for user protection and financial stability. Singapore is considered one of the countries that supports cryptocurrencies, with a cryptocurrency adoption rate of 11.2%, far higher than the global average of 4.2%. Under Singapore regulations, digital currencies are called digital payment tokens (DPTs).
