Bitstamp Secures MAS Approval in Singapore Amid European Banking Integration
Bitstamp, the Luxembourg-based cryptocurrency exchange, reached a significant milestone in its global expansion strategy by securing preliminary approval from the Monetary Authority of Singapore (MAS) yesterday. This achievement positions Bitstamp as the first major European exchange to receive such recognition in Singapore, marking a pivotal moment for the cryptocurrency industry in the region.
Bitstamp’s MAS approval arrives in the form of a Major Payment Institution (MPI) license, empowering the exchange to offer digital payment token services and cross-border money transfer facilities to customers in Singapore and select Asia-Pacific countries. This authorization enables Bitstamp to serve a diverse clientele, including financial institutions, payments processors, fintech companies, and brokerages. It’s noteworthy, however, that Bitstamp’s lending services are currently unavailable in the UK, US, Singapore, Japan, and Canada.
In the previous year, Bitstamp engaged in advanced negotiations with three prominent European banks to facilitate the rollout of cryptocurrency services, with announcements expected in the first quarter of 2024. These discussions underscore the increasing acceptance of digital assets in Europe, coinciding with the EU’s regulatory push under MiCA. Bitstamp’s “Bitstamp-as-a-service” solution has generated significant interest, providing banks and fintech firms with white-label options to enter the cryptocurrency market. Robert Zagotta, CEO for the Americas and Global Chief Commercial Officer at Bitstamp, disclosed these developments during an interview, emphasizing the evolving landscape of traditional financial institutions embracing digital assets.
Leonard Hoh, Bitstamp’s Asia-Pacific general manager, emphasized the conducive regulatory environment in Singapore, fostering the institutionalization and broader adoption of digital assets. This approval signifies a strategic foray for Bitstamp into the Asian market, with a particular emphasis on serving financial institutions in Singapore.
This development aligns with Bitstamp’s broader expansion plans in the Asia-Pacific region and beyond. Bitstamp received its first license in 2016 in Luxembourg. Today, they hold 50+ licenses and registrations globally, including markets like Luxembourg, the Netherlands, Spain, Italy, France, the United States (covering 40 states, including Texas, Florida, New York, and Washington), and the United Kingdom. The timing of the preliminary approval coincides with a resurgence in the cryptocurrency market, fueled by regulatory advancements in the European Union and the imminent approval of Bitcoin exchange-traded funds (ETFs) by the United States Securities and Exchange Commission (SEC). These factors collectively contribute to the evolving dynamics of the cryptocurrency industry, positioning Bitstamp for further growth and success on a global scale.
