ICO Regulations Updated By Singapore

 

The MAS, in a report titled “A Guide to Digital Token Offerings,” revealed an updated set of ICO regulations in the city-state. As per the new regulations, all token sales must be made alongside an offer plus a prospectus based on the current terms of the Securities and Futures Act (SFA). Offers which are below  $5 million or private sales to less than 50 persons may be excluded from attaching the prospectus. The exemption, in both cases only cover offers within 12 months. The new regulations also expect ICO platform operators and other intermediaries like exchange platforms, financial advisers, etc. to follow certain rules like having proper licensing requirements. It also specifies that the issuers and intermediaries both must adhere to the anti-money laundering (AML) laws.

These new rules are not only for security token sales but also for utility tokens, both of whom will have to in compliance with AML and counter- terrorist financing (CFT) regulations. These new guidelines follow the Payment Services Bill, which is already before the country’s Parliament

the release of these new rules are indicative of a more hands-on approach to regulating the industry and marks a shift from a neutral attitude it previously had. The aim seems to be to strengthen the cryptocurrency regulatory landscape instead of adopting a hard-line stance against the industry. This position is in many ways has been showcased by many countries, across the globe, recently. In order to achieve this, the city-state’s government has been trying to widen the sphere and scope of the regulatory mandate promulgate by the Monetary Authority of Singapore so that it takes into account digital currencies. The MAS is also trying to help, bussinesses in the crypto market, to apply and then secure banking partnerships that are beneficial and secure.