Stablecoin issuer Paxos has announced it has received full approval from the Monetary Authority of Singapore (MAS) to offer digital payment token services and is partnering with DBS Bank to meet its cash management and custody of stablecoin reserves.

Paxos obtains Singapore MPI license

According to the MAS website, to obtain an MPI (major payment institution) license, a company must have a base capital of S$250,000 and have a "permanent place of business or registered office" in Singapore, among other criteria.

So far, 21 companies engaged in cryptocurrency services or digital payment token services have obtained Singapore MPI licenses, including Blockchain.com, Circle, Coinbase, Ripple, XREX, etc.

Paxos has obtained licenses for its cross-border remittance services and digital payment token services.

Paxos also announced that DBS Bank (DBS) will become its primary banking partner for cash management and stablecoin reserve custody.

Countries have tightened supervision, and stablecoin issuers have accelerated their efforts to obtain licenses.

Paxos said that following the approval, Singapore becomes the third market where Paxos and its related entities have the authority to issue stablecoins, following the United States and the United Arab Emirates. This reflects Paxos’s commitment to expanding access to regulated, secure currencies globally. opportunities for stablecoins. It also highlights that when a company is committed to protecting consumers, it is possible to issue and operate stablecoins under prudential regulation.

Stablecoin issuer Circle also announced yesterday that it has become the first MiCA-compliant stablecoin dealer. Japan, the United States, the United Kingdom, Singapore, Hong Kong, the United Arab Emirates, Brazil and many other major market economies are also developing legislation to regulate Issuance of stablecoins. While various countries are successively tightening supervision, various stablecoin merchants are working hard to obtain regulatory licenses to avoid being squeezed out and losing the market.

(Circle becomes the first MiCA-compliant stablecoin merchant, will Tether’s leading position be shaken?)

This article Paxos obtains Singapore MPI license and cooperates with DBS Bank to issue stablecoins first appeared on Chain News ABMedia.