How to launch a crypto exchange in Singapore with an SPI license?
The Republic of Singapore is one of the most sought-after countries in the world for financial services. The government has created optimal conditions for the development of the financial sector, including fintech and crypto projects. In this jurisdiction, operations with cryptocurrencies are recognized as legal. Companies offering digital payment token services can operate legally within the jurisdiction's legal framework. The regulator's loyal policy and state support contribute to the development of crypto startups.
Why an SPI license is needed
The Standard Payment Institution (SPI) license is a permit issued by the Singapore regulator for conducting financial transactions. The SPI license enables its holders to provide any type of payment service, including cryptocurrency transactions, on a legal basis. The official permission of the Singapore regulator, MAS, allows cryptocurrency exchanges to provide intermediary services for the exchange of virtual currencies and fiat funds. In the event that a cryptocurrency exchange intends to act as an intermediary in the purchase and sale of tokens, which fall under the securities legislation in Singapore, it is necessary to obtain a full-fledged stock exchange license.
The high level of prestige of the jurisdiction creates trust in licensed crypto exchanges. A company holding a Singapore SPI license is perceived by cryptocurrency market participants as having high security standards that ensure the protection of clients' interests and the legality of operations.
What are the requirements for opening a crypto exchange
To successfully obtain an SPI license, which will allow launching a cryptocurrency exchange in Singapore, a company must fulfill the following conditions set by the MAS regulator:
- registration in Singapore with an office in the jurisdiction and a resident director;
- minimum base capital of 100,000 Singapore dollars;
- presence of a risk management system for cryptocurrency activities, implementation of KYC and AML procedures;
- payment of state fees and submission of an application for a license for crypto activities.
How to obtain an SPI in Singapore
To quickly and successfully launch a cryptocurrency exchange with a Standard Payment Institution license in Singapore, contact the specialists at IT-OFFSHORE.
