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The Singapore government said it is carefully studying the risks associated with blockchain and cryptocurrencies, and also urged the public to be careful about them.
Singapore’s Communications and Information Minister S Iswaran said the government intends to make the country a cryptocurrency and financial technology hub where companies can register their headquarters.
At the same time, the Singapore authorities are carefully studying not only the possibilities of the metaverse, decentralized finance (DeFi) and non-fungible tokens (NFT), but also assess their risks. Therefore, Isvaran urged people interested in investing in digital assets to show maximum caution, restraint and skepticism towards them.
“As in the physical world, Singapore is striving to find a balance between ensuring economic viability, maintaining social stability and protecting public safety in the digital realm,” the minister said.
According to Singapore MP Shahira Abdullah, the country’s citizens have lost more than S $ 100,000 (about $ 73,900) on the Neko Inu gaming platform alone, which allows them to earn cryptocurrencies. Therefore, Abdullah expressed the need to protect young people from cryptocurrency game fraud and to organize programs aimed at increasing financial literacy.
Singapore’s Minister of the Interior, K Shanmugam, has recommended that users make cryptocurrency transactions only with organizations regulated by the Monetary Authority of Singapore (MAS).
The regulator has approved only a few applications for conducting cryptocurrency activities in the country. Among them was the iSTOX platform for trading tokenized securities, which last year received MAS permission to conduct operations in the country.
The regulator did not “have a relationship” with the well-known exchange Binance – MAS added the exchange website to the list of resources that pose a threat to investment. Binance later withdrew its MAS license application and said it would stop trading in Singapore by February.
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