OKX Secures In-Principle Approval for Singapore Payments License

Cryptocurrency exchange OKX announced its Singapore subsidiary has received in-principle approval for a Major Payment Institution license from the Monetary Authority of Singapore.

Key Insights

  • OKX announced its Singapore subsidiary received in-principle approval for a Major Payment Institution license from Singapore’s regulators.
  • The approval brings OKX closer to offering regulated digital payment token services in Singapore.
  • Singapore has granted a limited number of such crypto licenses to firms like Blockchain.com, Circle, Coinbase, and Ripple.

SINGAPORE (MarketsXplora) – Major cryptocurrency exchange OKX said on Tuesday its Singapore subsidiary had received in-principle approval to offer digital payment token services in the city-state, bringing it a step closer to launching regulated stablecoin and crypto trading.

The in-principle nod from the Monetary Authority of Singapore (MAS) clears OKX, one of the world’s largest crypto trading platforms, to pursue a Major Payment Institution licence allowing regulated services in Singapore.

“The in-principle approval from MAS is not only a validation of our commitment to date, but also an exciting opportunity for us to continue as a responsible contributor to the Singapore crypto ecosystem,” OKX President Hong Fang said in a statement.

OKX’s Seychelles-based parent ranks among the biggest crypto bourses globally, processing over $75 billion in trading volumes in February, according to data from researcher The Block.

The green light aligns OKX with Singapore’s push to attract leading crypto service providers amid its upstart push to become Asia’s digital asset hub. Larger rival Binance processed $506 billion last month.

Read also! Bitstamp Secures In-Principle Approval for Singapore License

Singapore has granted a relatively small number of digital payment licences to crypto firms including Blockchain.com, Circle, Coinbase and Ripple to allow stablecoin issuance and other regulated token services.

“Singapore is a priority market and we’ve been investing here for some time,” Fang added.

The wealthy city-state is positioning itself as a market balancing crypto development against stringent regulations to create a regulated environment for highly mobile crypto startups and trading venues.

OKX has expanded rapidly worldwide in recent months, launching regional units in Turkey, Dubai, as well as Singapore, where requirements include capital reserve holdings and checks on money-laundering risks.

The Singapore subsidiary is aiming for approval to admit domestic retail investors to trade crypto, a key revenue opportunity for the platform as it focuses on appealing to novice token buyers.

Licensing terms will also open commercial partnerships and sponsorship deals in the city, OKX said.

“We very much appreciate the trust placed in us by the MAS and intend to fully participate in the vibrant digital asset ecosystem here,” Fang added.

OKX has highlighted Singapore’s ambitions to eclipse financial centres like Hong Kong as a global crypto hub, despite the city-state’s regulatory stance that has cooled some retail crypto interest.

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