The Monetary Authority of Singapore (MAS) proposed to amend the existing rules and simplify the procedure for exchanging cryptocurrency. According to the document published on the agency's website, the current RMO regulatory framework is not able to meet demand for new business models.
"MAS has observed the emergence of new business models in trading platforms,including trading facilities that make use of blockchain technology, or platforms that allowpeer-to-peer trading without the involvement of intermediaries. As the current RMOregime has been in place since 2002, it is timely to review to the regulatory framework formarket operators to ensure that it continues to meet the demands of the changinglandscape," - the document said.
It proposed to expand the existing Recognised Market Operators (RMO) regime from a single tier to three separate tiers:
- RMO Tier 1, which is targeted at market operators with limited access to Singapore-based retail investors;
- RMO Tier 2, which is targeted at market operators that qualify under thecurrent RMO regime;
- RMO Tier 3, which is targeted at market operators that have asignificantly smaller scale of business operations compared to more established operators under the current AE and RMO regime.
The new rules are designed to facilitate the work of market participants offering solutions for traders who are commercially viable, but can not meet the requirements of the current RMO regime.
Financial institutions in Singapore can submit to MAS their proposals for the finalization of the rules until June 22.
By Ekaterina Ulyanova