The USDC stablecoin, which has a market capitalization of more than US$43 billion, is issued by Circle Internet Financial Ltd. in the United States. The company recently announced that it has received in-principle approval to provide digital payment token products and other services in Singapore.
The Monetary Authority of Singapore (MAS), the city state’s central bank, has approved a Major Payments Institution License. Additionally, it will enable Circle to offer both domestic and international money transfer services in Singapore.
In an effort to establish itself as a “responsible” hub for cryptocurrencies and other digital assets in Asia, MAS has recently sped up permits for crypto service providers while tightening rules. The USDP stablecoin’s creator, Paxos, also declared today that it has been granted a license to conduct business in Singapore.
The actions coincide with Hong Kong’s announcement this week of a number of regulations to entice investment in digital assets, Singapore’s main rival in Asia for financial services.
The largest cryptocurrency exchange in the United States, Coinbase, and another exchange, Blockchain.com, each received in-principle approvals from Singapore in October alone. Following the central bank’s warnings that cryptocurrency trading is too risky for amateur investors, both stated that they would concentrate on institutional and corporate clients in Singapore.