Australian exchange Independent Reserve is among the first virtual asset service providers to receive an in-principle approval in Singapore.
The Monetary Authority of Singapore (MAS) issued an in-principle approval letter yesterday for a Major Payment Institution licence to cryptocurrency exchange Independent Reserve, according to a press release published by the company.
This approval allows Independent Reserve to operate as a regulated provider of digital payment token services under the Payment Services Act, making the exchange one of the first virtual asset service providers (VASPs) in Singapore to receive such a letter.
Independent Reserve’s CEO, Adrian Przelozny, said: “Being among the first crypto exchanges to receive notification from MAS of our in-principle licence approval reflects the strength of the policies, procedures and risk-management systems we have implemented to govern our day-to-day operations. It provides certainty for us as industry participants and reassurance for our customers, who can be confident the platform they have chosen has passed the rigorous scrutiny of a world-class regulator.”
Founded in Australia in 2013, Independent Reserve operates an order-book cryptocurrency exchange and an over-the-counter trading desk. Its services include API integration, a tax estimator and an AutoTrader feature to implement automated crypto trading strategies. The exchange now serves more than 200,000 customers across Australia, New Zealand and Singapore.
Independent Reserve began international expansion in 2019, with Singapore as its first overseas market. The MAS regulatory framework enabled the exchange to confidently establish crypto exchange services and an OTC trading desk in the country to serve both retail and institutional clients.
Przelozny added: “The MAS’s licensing regime for digital payment tokens will continue to position Singapore at the forefront as Asia’s leading financial hub. We are proud to be a compliant, positive contributor to this growing industry.”
The MAS requires VASPs to implement appropriate governance, risk management and due diligence measures to qualify for a licence. In particular, the authority reviews applicants’ anti-money laundering and counter-terrorism financing compliance frameworks, transaction screening mechanisms, customer protection arrangements and the robustness of their IT systems.
Meanwhile, a MAS spokesperson told Decrypt yesterday that Binance is not yet authorised to operate in Singapore. Binance Asia Services is in a transitional period and is temporarily exempt from licensing requirements while MAS assesses its application.