Crypto firm Paxos receives in-principle approval from Singapore regulator

Crypto firm Paxos, which offers brokerage, custody and stablecoin services, has received in-principle approval from the Monetary Authority of Singapore (MAS).

It makes Paxos the first crypto company to hold regulatory licenses in both New York and Singapore, according to an announcement Thursday.

In 2015, Paxo secured the first limited-purpose trust charter for digital assets from the New York Department of Financial Services.

Paxos' Singapore approval is in-principle, meaning it still has to get the final approval. That will follow after working with regulators and passing an exam, a Paxos spokesperson told The Block. The in-principle license allows the company to continue its Singapore operations, they said.

Paxos created its Singapore unit in 2012, but to continue operating in the country, it had to win regulatory approval under the Payment Services Act 2019.

"We're excited to have MAS as our regulator, and with their oversight, we'll be able to safely accelerate consumer adoption of digital assets globally by powering regulated solutions for the world's biggest enterprises," said Rich Teo, co-founder and CEO of Paxos Asia.

Paxos is one of the few firms to get a crypto license from MAS. More than 100 companies that applied for such a license have either been turned down by MAS or withdrawn their applications, according to a Nikkei Asia report in December.

Other firms that have received crypto licenses in the country include DBS Vickers Securities, Sygnum and Independent Reserve.