Cryptocurrency custody company located in California Bitgo Achieving a major milestone by obtaining a Major Payments Institution (MPI) license from the Monetary Authority of Singapore (MAS). This regulatory approval represents a significant step in BitGo’s global expansion, positioning the company to provide enhanced digital payment services in one of the world’s most crypto-friendly regions.
BitGo’s Strategic Expansion into Asia
The August 7 announcement confirms that BitGo, previously limited to providing custody services through US-based South Dakota Trust and hot wallets, is now fully licensed to engage in regulated digital payment token services in Singapore. Not only will the license allow BitGo to offer a wider range of payment services without the restrictions faced by smaller businesses, it will also place the company alongside major industry players such as Coinbase, Circle, and Ripple, who hold similar licenses in Singapore.
A new era of digital payment services in Singapore
With the MPI license, BitGo is ready to transform its operations in the Asia Pacific region. The company can now offer a comprehensive range of services, including custody and trading of digital assets, under Singapore’s full regulatory framework. This expansion is particularly significant given Singapore’s status as a leading financial hub in Asia, known for its cautious yet progressive approach to cryptocurrency regulation.
Youngro Lee, CEO of BitGo Singapore, highlighted the importance of this license, saying, “This license ushers in a new era for BitGo’s international operations, allowing us to provide unparalleled digital asset solutions to our customers in Asia and beyond.”
Singapore’s Role as a Crypto Hub
Despite its reputation as a major hub for cryptocurrencies and blockchain technology, Singapore has taken a cautious approach to regulation, especially following the collapse of local hedge fund Three Arrows Capital during the 2022 crypto bear market. The MPI license is part of Singapore’s broader strategy to regulate digital payment token service providers while also fostering innovation in the financial sector.
BitGo CEO Mike Belshe emphasized the importance of Singapore, saying, “This license will allow us to meet the growing demand from customers with requirements ranging from fully regulated custody and trading to self-custody wallets. BitGo is the only company to offer a full range of services in the region.”
conclusion
BitGo’s acquisition of the MPI license is a strategic move that underscores its commitment to expanding its presence in the Asia Pacific region. As Singapore solidifies its role as a global leader in cryptocurrency regulation, BitGo’s enhanced services are poised to meet the growing demand for secure and regulated digital asset solutions in the region.
Also Read: Cryptocurrency Regulation: Singapore Enforces Strict Guidelines