Singapore sees place for cryptocurrencies such as Stablecoins, minister says

“There may be a role for crypto in future finance that extends beyond pure speculation and illicit finance,” Tharman Shanmugaratnam, the chairman of the Monetary Authority of Singapore, said on Wednesday at the Asia Financial Markets Forum.

Stablecoins, for example, can have a role together with traditional payment systems, though these digital assets need to be regulated for illicit finance activities including anti-money-laundering, he said.

The central bank is keeping an “open mind” on cryptocurrencies because the regulator wants technologies and innovation to develop, said Tharman, one of Singapore’s most influential politicians who has held roles in organisations such as the International Monetary Fund.

Tharman’s comments come as Singapore builds its status as a crypto-technology hub and lays the framework for activities such as trading, listing, tokenisation and custody. In contrast, countries like China have taken a more hardline approach.