Singapore has been enthusiastic in terms of cryptocurrency and blockchain technology. The Central bank is supporting the cryptocurrency industry by providing domestic banking services. This initiative is done to grow the cryptocurrency industry in the country.
Ravi Menon, Managing Director of Monetary Institute of Singapore (MAS) in an interview with Bloomberg said, the banks are reluctant to open accounts for a crypto startups because of the “obscure and dangerous” to the financial institutions.
Menon also mentioned,
“The Central bank is trying to get the banks and crypto startups together to see if there is some understanding they can reach”
But in some counties like India, the Central bank has banned to do any business with cryptocurrency companies. And this move has led to the shutdown of one of the largest cryptocurrency exchange in India.
This Change by the Central bank in Singapore is done to collaborate with the crypto startups and come to a better conclusion. Because it will also help the industry to flourish in the country and have a constant growth.
After this being said Menon added that due to this decision to collaborate and encourage crypto startups they will not lose their focus on the regulation of cryptocurrency. This means they will be regulating the cryptocurrency industry but also supporting the crypto startups to grow.
Cryptocurrency industry growth in Singapore can actually create many jobs. This might be one of the reasons the central bank wants to collaborate with crypto startups and help them grow. Let us see how well the banks will support and their results in the coming days.