Singapore is looking to introduce tighter rules for cryptocurrency service providers which looks to impact retail investors. The tighter rules look to limit potential consumer harm by barring crypto service providers in Singapore from accepting locally issued credit card payments, offering incentives to trade in cryptocurrencies and providing financing, margin or leverage transactions for retail customers.
These measures will take effect in phases starting in mid-2024. Regulators will also issue rules requiring service providers to publish policies, procedures and criteria that govern the listing of a digital payment token and establish effective procedures to handle customer complaints and resolve disputes.
At face value I don't have issues with measures to protect users, but it always seems regulations impact retail investors more than institutional investors. Those impacts are usually give institutional investors the edge as they skirt around these same regulations and laws.
Trading crypto is risky, but I believe that everyone should have access to learn and trade even if prices are subject to volatility and speculation. Institutional investors will take advantage of retail no matter, but even with that creating barriers of entry to something that can be learned and done with risk mitigation techniques is crazy.
Singapore has since stepped up supervision on crypto firms. In July, it ordered firms to safe keep customer assets under a statutory trust before the end of the year. The regulation stops firms from staking retail customers’ assets which I think is good and bad. I want people to have access to staking and be informed to opt in or out. In January 2022, Singapore banned crypto service providers from promoting their services in public areas or through third parties such as social media influencers which is a good move. Influencers in the space do more harm than good. We have too many gurus and experts that shill trash. I think some of the regulation Singapore are a move in a good direction, but I also disagree with it as well. I have not see a single regulator come up with a common sense way to regulate the space. I don't have the answers, but I can hope for the best and prepare for the worst.
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That's right, now again we are seeing that everyone is moving towards digital currency and other countries are also adopting it and we will see in the next few days when If ETF is approved, we will see its prices go up a lot.
If more people move to crypto governments are going to be pushing harder to regulate. At this point they want to kill it.
I am not really surprised to the regulations get tighter and the financial system will definitely crack down on it. I still think it's better for the regulations to be out there so everyone knows exactly how to proceed and we have more clarity on the subject.
I agree I wondering what other regulations will be forced down our throats.
I feel like Singapore has flip flopped quite a bit over the past few years. I agree, it always seems to impact the small folks like us the most.
Yeah they have flip flopped a lot. I think regulations are to keep retail down since the big guys always get around it.
For sure.
a lot is happening, now this, Singapore should regulate the crypto for their people.
They should regulate smartly which I'm not sure this is the move.
The way Singapore is going only the rich will be able to participate in crypto currency because of their rules and regulations.
It seems Singapore is not ready to actually accept the Crypto world to their country
They were but now the big guys want their slice first.
That's very true