The stablecoin issuer Paxos has received preliminary approval from the Monetary Authority of Singapore (MAS) to offer digital payment services in Singapore.
Paxos, the company behind the US dollar-pegged stablecoin Paxos US Dollar (PUSD), is now entering Singapore’s digital asset market.
In an announcement on Wednesday, Paxos said it got initial approval from MAS for its new Singapore entity and plans to issue a new US dollar-pegged stablecoin that follows MAS’s proposed regulatory framework.
Paxos said this approval from MAS will let it bring its regulated platform to more users worldwide, as demand for US dollars globally remains strong but it’s still difficult for many outside the US to reliably and safely get US dollars.
Earlier, MAS revealed some planned regulations for single-currency stablecoins – they’d need reserves in low-risk, liquid assets in separate accounts with approved custodians.
After Paxos’ news, MAS’s managing director said cryptocurrencies failed as digital money, but well-regulated stablecoins like Paxos’ new USD one could be an exception.
Previously, Paxos had to stop issuing the Binance-branded stablecoin BUSD due to an order from New York regulators. Paxos also partnered with PayPal for a stablecoin, but the SEC quickly subpoenaed PayPal for documents on that.
#Stablecoin #Singapore #Paxos #Cryptocurrency
