HashKey Group’s over-the-counter trading arm receives a payment license from the Monetary Authority of Singapore, enhancing its regulated OTC trading services.
Points
- HashKey OTC awarded a payment license by the Monetary Authority of Singapore.
- The license enables the provision of digital payment token services.
- HashKey’s expansion and compliance efforts in Asia.
- Singapore’s position as a leading global hub for cryptocurrencies.
HashKey Group’s over-the-counter （OTC） trading arm has become the latest crypto firm to be awarded a payment license by the Monetary Authority of Singapore. The license, introduced under the Payment Services Act of 2019, enables companies to provide “digital payment token” services in the Southeast Asian city-state.
“This significant achievement solidifies HashKey OTC’s position as a leading provider of regulated OTC trading,” the firm wrote in a statement, adding it underscores its efforts to achieve regulatory compliance.
HashKey’s Expansion and Compliance Efforts
In February, HashKey received in-principle approval for the Major Payment Institution license. Previously, the company operated under a regulatory exemption to provide spot trading, fiat onramps, and settlement services. HashKey Group, founded in 2018 in Hong Kong, is a financial services company providing crypto services across Asia via its exchange, asset management, node operation, tokenization, and NFT units. It also has offices in Singapore, Japan, and Bermuda.
Singapore: A Growing Crypto Hub
Singapore has emerged as a leading global hub for cryptocurrencies. It is home to the much-anticipated TOKEN2049 conference and was one of the first nations to publish legislation
and tax guidance specifically tailored to cryptocurrencies.
The Payment Services Act regulates certain crypto trading and exchange services, though not the issuance of tokens. In 2020, the country became compliant with FATF’s so-called “Travel Rule,” which sets KYC and surveillance standards to prevent money laundering and terrorist financing.
Some of the industry’s biggest brands, including Binance, Coinbase, and Crypto.com, have headquarters or regional offices in the country. Singapore recently scored second-highest in the World Bank’s Ease of Doing Business index and does not have a capital gains tax.
Conclusion
The awarding of the payment license to HashKey’s OTC trading arm by the Monetary Authority of Singapore underscores the city’s growing role as a global crypto hub. With this license, HashKey can enhance its regulated OTC trading services, further solidifying its position in the market and contributing to the expansion of regulated crypto services in Asia.