The Monetary Authority of Singapore (MAS) has granted Ripple In-Principle Approval of the Major Payments Institution Licence. The approval means that Ripple can offer regulated digital payment token products and services in Singapore. This makes Ripple Ltd. one of less than 20 crypto companies authorized to operate in the city state.
In a blog post on Wednesday, June 22, the company said that, with the approval, it is set to scale its services in the Asia-Pacific region. It said that its services in the region will be strengthened by the regulatory licensing, adding that 2022 saw remarkable growth in the company’s services within APAC.
Early leadership in developing a clear licensing framework
Commenting on the approval, Stu Alderoty, Chief Legal Officer of Ripple, said,
“As more countries develop regulatory frameworks for crypto, many are looking to Singapore’s early leadership in developing a clear taxonomy and licensing framework. This in-principle regulatory approval from the MAS will enable us to better support our forward-looking customers looking to hone in on blockchain and crypto technologies to build a more inclusive and borderless financial system.”
A leading global financial center
The company’s CEO, Brad Garlinghouse, said,
“Singapore is a leading global financial center, and a prominent gateway to business in Asia Pacific. We’re incredibly proud to receive an in-principle license from the MAS, reaffirming our commitment to the region and ongoing proactive engagement with regulators globally.”
His emphasis on engaging with regulators didn’t go unnoticed. Ripple has been embroiled in a lawsuit with the US Securities and Exchange Commission, which accuses the company of dealing in unregistered securities. A few other US-based crypto companies, such as Binance US and Coinbase, have also been sued by the US regulator.
The Ripple team said that the in-principle approval is a point of inflection for the company, which has been operating in Singapore since 2017. The Ripple annual Swell Conference was held in the city state in 2021. The update said that there is a reason why it designated Singapore as its headquarters in the Asia-Pacific region.