BitGo Secures Major Payment Institution License in Singapore

California-based cryptocurrency custody firm BitGo is advancing its global reach by securing a Major Payment Institution License (MPI) from Singapore’s Monetary Authority (MAS), making significant strides in one of the most crypto-progressive jurisdictions globally.

 

BitGo Achieves Regulatory Milestone in Singapore

 

On August 7, BitGo announced its acquisition of the MPI license, enabling it to offer a broad spectrum of payment services in Singapore, including digital payment token services. This license allows them to operate without the transaction limits that constrain smaller entities.

 

Singapore’s MAS now lists BitGo among 27 other MPI-licensed firms, placing it alongside major industry players such as Coinbase, Circle, HashKey, Paxos, Revolut, and Ripple. With this license, BitGo will provide regulated digital payment token services, including custody and trading within the Singaporean market.

 

Expanding Services Beyond Custody

 

Prior to this achievement, BitGo’s offerings to the Singapore and Asia-Pacific markets were limited to custody services via the US South Dakota Trust and hot wallets, which, as per a BitGo spokesperson, are unregulated tech-based solutions. The MPI license marks a significant evolution in BitGo’s capability to serve the sophisticated needs of its clientele.

 

Singapore’s Rigorous Crypto Framework

 

Singapore continues to develop as a central hub for blockchain and cryptocurrency innovation. Despite the proactive licensing, Singapore maintains a stringent regulatory approach, especially following the collapse of local hedge fund Three Arrows Capital in 2022’s crypto bear market.

 

The Singapore government recently updated its Money Laundering National Risk Assessment to address the risks associated with digital payment token (DPT) service providers. Furthermore, in April 2024, the MAS expanded the scope of the Payment Services Act, enhancing the regulatory framework surrounding digital payment tokens.

 

BitGo’s Strategic Position in Asia

 

According to BitGo CEO Mike Belshe, Singapore’s status as a financial hub in Asia is unparalleled. “With this license, we can meet the rising demands of clients with a diverse set of needs, from fully regulated custody and trade to self-custody wallets,” stated Belshe. BitGo is now uniquely positioned as the only company in the region to offer a complete spectrum of digital asset services.

 

The license from MAS not only enhances BitGo’s service offering but also strengthens Singapore’s position as a leading node in the global financial technology landscape.