Juni 9, 2023

Circle Receives Digital Token License in Singapore

Von admin

Summary

  • Circle, the issuer of USDC stablecoin, has received a Major Payment Institution (MPI) license for digital payment token services in Singapore.
  • The license was issued by the Monetary Authority of Singapore (MAS), and allows Circle to offer digital payment token services, cross-border money transfer services and domestic money transfer services in Singapore.
  • Tether’s USDT stablecoin currently has a market cap of $80.2 billion, more than twice that of USDC ($32.75 billion).

Circle Receives MPI License from MAS

Circle announced on Wednesday, June 7th that it has received its Major Payment Institution (MPI) license for digital payment token services in Singapore. This comes after the company was issued an in-principle approval last November by the Monetary Authority of Singapore (MAS). With this license, Circle can now offer digital payment token services, cross-border money transfer services and domestic money transfer services in Singapore. Jeremy Allaire, the CEO of Circle said that “Singapore is integral to Circle’s global expansion and mission in raising global economic prosperity and through the frictionless exchange of value.“

USDC vs USDT

Circle’s USDC stablecoin has taken a hit this year due to banking crisis in the United States. As the second largest stablecoin by market cap, USDC has fallen behind Tether’s USDT with a market cap of $80.2 billion compared to USDC which is at $32.75 billion.

Singapore’s Stablecoin Regulations

Last year MAS proposed regulations for stablecoins which included capital and reserve requirements for issuers as well as banning users from some crypto related activities like staking and lending.

Conclusion

Circle’s receipt of their Major Payment Institution (MPI) license allows them to offer digital payment token services within Singapore which could potentially raise their profile amongst other stablecoins such as Tether’s USDT.