Singapore: Published Regulatory Framework for Stablecoin Issuers

On 15 August 2023, The Monetary Authority of Singapore (MAS) made public the features of the regulatory framework for stablecoins which will apply to single-currency stablecoins (SCS) pegged to the Singapore Dollar or any G10 currency issued within Singapore's jurisdiction. Entities responsible for issuing these SCS will be subject to requirements concerning value stability, capital reserves, redemption at par, and disclosure of pertinent information. Only stablecoin issuers who satisfactorily meet all the prerequisites outlined in the framework will be eligible to submit applications to MAS, seeking recognition and classification of their stablecoins as "MAS-regulated stablecoins". This designation will enable users to easily differentiate between MAS-regulated stablecoins and other digital payment tokens, including "stablecoins" that do not fall within the purview of MAS' stablecoin regulatory framework.