Global crypto exchange and Web3 company OKX announced that its Singapore subsidiary, OKX SG Pte., received in-principle approval from the Monetary Authority of Singapore (MAS) for a Major Payment Institution License (MPI).
Crypto exchange OKX announced that its Singapore subsidiary received in-principle approval for its MPI license application from the MAS. The approval allows the exchange to offer digital payment tokens and cross-border money transfer services in Singapore under its Payment Services Act.
OKX SG Secures Regulatory Nod from MAS
OKX SG, the Singapore subsidiary of crypto exchange and web3 company OKX, announced in a press release earlier that it received in-principle approval from the MAS to offer its services in the country.
In a blog post, OKX President Hong Fang said:
“As an applicant, we’ve been providing our products and services in Singapore for a few years now under the Payment Services (Exemption for Specified Period) Regulations 2019. With the in-principle approval from MAS, we look forward to providing more access and opportunities to our customers. It’s both exciting and humbling to reach such a significant milestone and be granted an opportunity to have an impact.”
The in-principle approval grants OKX permission to provide digital payment tokens and cross-border money transfers in Singapore. The exchange further explained that the regulatory approval offers the company a platform to build an enhanced, locally-tailored suite of products and services for its Singapore users.
In the blog post announcing the news, President Fang explained that with its newly obtained approval, the exchange would focus on spot products first. At the same time, the local team works to bring local banking connections to its customers as soon as possible.
In OKX’s press release, Fang said:
“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. By combining our global resources with our local knowledge and expertise, we intend to be a long-term participant that brings transparency and access to our customers, while upholding best practices in both regulated and innovation-driven industries.”
Clear and Thoughtful Regulatory Framework
According to OKX, Singapore has always been a priority country in its global strategy as Singapore attracts “forward thinkers, entrepreneurs, and innovators” who are open to new industries.
Fang also commented, “Singapore’s clear and thoughtful regulatory framework helps protect customers, provides clear guardrails to a new innovation-driven industry, and empowers entrepreneurs to build better for the long-term.”
Adding:
“Regulatory compliance is at the core of our global strategy and we’re committed to continue our transparent engagement with MAS to ensure responsible innovation.
Importantly, Singapore also boasts a world-class talent pool that has both local insights and global perspectives. We feel fortunate to have Singapore as one of our global hubs and are keen to continue to invest in the country.”
OKX Chief Legal Officer Maurucio Beugelmans also commented on the MAS’s commitment to regulatory compliance:
“Regulatory compliance is a core aspect of our CeFi business strategy as we build locally, and we are supportive of the Monetary Authority of Singapore’s world-leading framework, which aims to safeguard consumers by upholding market integrity and security. We look forward to serving users in Singapore while being a responsible and enthusiastic participant in the country’s growing crypto industry.”
Global Expansion
OKX has undertaken global expansion with great enthusiasm. In 2023, the exchange announced it would launch a crypto exchange and web3 wallet in Brazil. According to OKX, the new exchange will enable Brazilian users to on-ramp their currency to buy cryptocurrency in a secure environment. More recently, OKX announced expanding to Argentina to conquer the Latin American market. It said it would launch a self-custody wallet, grant access to OKX’s platform and allow users to trade NFTs.
Besides its Foray into Latin America, OKX’s Dubai subsidiary, OKX Middle East Fintech, was awarded a Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Assets Regulatory Authority (VARA). OKX said the licence remains “non-operational until the company fully satisfies all remaining conditions and select localisation requirements defined by VARA, following which it will be able to commence operations, subject to regulatory reverification and approval.”
Once operational, the license allows OKX Middle East to extend its approved virtual asset activities suite and provide spot services and pairs to institutional and qualified retail customers.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
