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Monetary Authority of Singapore Crypto Oversight: What You Need to Know in 2025

Robert Colt Nov, 14 2025

Singapore Crypto Compliance Calculator

Important: This calculator estimates compliance costs based on MAS regulations effective June 2025. Deadline: June 30, 2025. Non-compliance results in fines up to SGD 200,000.

Compliance Cost Calculator

Compliance Summary

DTSP License Required Deadline: June 30, 2025
Minimum Capital Reserve SGD 0
Compliance Officer SGD 0
Travel Rule Software SGD 0
TOTAL COST SGD 0
Warning: Failure to comply by June 30, 2025 may result in fines up to SGD 200,000 and forced shutdown.

For years, Singapore was seen as one of the most welcoming places in the world for crypto companies. But everything changed in June 2025. The Monetary Authority of Singapore (MAS) didn’t just tighten the rules-it slammed the door shut on most new crypto businesses. If you’re running or planning to launch a crypto service from Singapore, you need to understand exactly what’s happening. This isn’t a gentle nudge. It’s a full regulatory overhaul with real consequences.

Why MAS Changed Course

MAS didn’t wake up one day and decide to crack down on crypto for no reason. The trigger was something deeper: reputation. Singapore has spent decades building its name as a trustworthy, stable financial center. But over the last few years, crypto firms started using Singapore as a branding tool. They’d register here, get the “Singapore-regulated” label, and then serve customers in places with no rules at all. MAS saw this as a dangerous game. They weren’t just worried about money laundering or fraud-they were worried about their own credibility.

The Financial Services and Markets Act 2022 (FSMA) gave MAS the legal power to act. Section 137 of the law says: if you’re based in Singapore, you’re under MAS control-even if your servers are in Dubai, your users are in Nigeria, and your money flows through a Swiss bank. That’s not normal. Most regulators only care about what happens inside their borders. MAS cares about what you do from Singapore, no matter where it goes.

The DTSP License: A License That’s Almost Impossible to Get

The new system requires every crypto business operating from Singapore to hold a Digital Token Service Provider (DTSP) license. Sounds simple, right? Not anymore. In a public statement on June 6, 2025, MAS said it would issue licenses only in “extremely limited circumstances.” That’s code for: we’re not giving out new licenses anymore.

Before this, around 200 companies had applied or held provisional licenses. By the June 30, 2025 deadline, experts estimate only 15 to 20 will still be compliant. Why? Because the requirements are brutal.

  • You must have a minimum capital reserve-enough to cover losses if things go wrong.
  • You must hire a Singapore-based compliance officer. Not a remote one. Not a consultant. A full-time, on-the-ground employee with real qualifications. Salaries for these roles now range from SGD 150,000 to SGD 250,000 per year.
  • You need annual independent audits by firms approved by MAS.
  • Your cybersecurity systems must meet strict standards-no exceptions.
And that’s just the start.

The Travel Rule: Tracking Every Big Crypto Transaction

If you send or receive more than SGD 1,500 (about USD 1,100) in crypto, MAS now requires you to collect and share detailed information about both parties. That includes full names, government ID numbers, and account details. This is called the Travel Rule, and it’s not optional.

Implementing this isn’t like flipping a switch. You need specialized software that can securely exchange data with other platforms worldwide. Costs range from SGD 50,000 to SGD 200,000 depending on how many transactions you handle. Smaller firms can’t afford this. Many simply shut down.

And it’s not just about tech. You have to make sure your systems comply with both Singapore’s rules and the rules of the countries your users are in. That’s a legal minefield. Deloitte estimates this doubles compliance costs for firms operating across borders.

Crypto developer facing license denial as compliance officers loom behind in a Singapore office.

Consumer Protection: No More Credit Cards for Crypto

MAS doesn’t just care about companies. They care about regular people too. In September 2024, they introduced new consumer rules that hit hard:

  • Crypto platforms can no longer let customers buy digital assets with credit cards.
  • You must assess whether a customer understands the risks before letting them trade.
  • You must clearly warn users that crypto prices can crash overnight.
These aren’t suggestions. They’re legal requirements. Platforms that ignore them risk fines, jail time, or being shut down.

What Happens If You Don’t Comply?

There’s no grace period. No warning. No “try again next year.” The June 30, 2025 deadline was final. If you didn’t get your DTSP license by then, you’re breaking the law.

Penalties are severe:

  • Fines up to SGD 200,000 (USD 147,000)
  • Potential imprisonment for executives
  • Forced shutdown of all operations
Even if you’re a small firm with only five customers, you’re not safe. MAS doesn’t care about your size. They care about whether you’re operating from Singapore without permission.

The Human Cost: Jobs, Talent, and the Brain Drain

This isn’t just about companies. It’s about people.

Crypto-related job postings in Singapore dropped 37% in Q1 2025 compared to the last quarter of 2024, according to LinkedIn data. Developers, compliance officers, and operations staff are leaving. Some moved to Dubai or Switzerland. Others left the industry entirely.

The salary for a qualified compliance officer has become a barrier. Companies that once hired junior staff for this role now need someone with years of experience in AML, international law, and financial regulation. Few people have that combo. And those who do are being poached by banks and hedge funds.

Global crypto transactions tracked from Singapore as talent flees to other countries.

How Singapore Compares to the Rest of the World

Switzerland lets crypto firms operate with clear, predictable rules. The UAE has active licensing programs and tax incentives. Even the U.S., despite its patchwork of state laws, still has dozens of crypto firms operating with state-level approvals.

Singapore? It’s now one of the strictest places on earth for crypto. MAS isn’t trying to attract startups. They’re trying to filter out everyone who can’t meet elite standards. The goal isn’t growth-it’s purity. A smaller, cleaner, more controlled industry.

Some experts warn this could backfire. Dr. Jane Lim of the Asian Fintech Institute says, “Overly restrictive regulation could permanently diminish Singapore’s role in the global crypto ecosystem.”

MAS’s response? “A smaller, higher-quality industry better serves Singapore’s long-term interests.”

What’s Next? Stablecoins and DeFi

MAS hasn’t finished. In May 2025, they signaled they’re working on new rules for stablecoins and decentralized finance (DeFi). Stablecoins-digital tokens pegged to the dollar or euro-will be held to even stricter standards than other crypto assets. The goal: ensure they’re as stable as bank deposits.

DeFi is trickier. It’s decentralized, so there’s no company to regulate. But MAS is exploring ways to hold developers, liquidity providers, or even smart contract auditors accountable if something goes wrong. Expect more guidance by late 2025.

Final Reality Check

If you’re thinking of starting a crypto business in Singapore, stop. The window is closed. If you’re already operating here, and you haven’t gotten your DTSP license, you’re already in violation. The clock ran out on June 30, 2025.

There’s no workaround. No legal gray area. MAS has made it clear: if you’re in Singapore, you play by our rules-or you don’t play at all.

The era of Singapore as a crypto haven is over. The new era is about control, compliance, and credibility. Whether that’s a smart move in the long run is still up for debate. But for now, the rules are set. And MAS isn’t backing down.

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5 Comments

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    anthony silva

    November 15, 2025 AT 20:26

    So MAS just killed crypto in Singapore and now wants a gold star for being "responsible"? Cool story bro. I bet the compliance officers are sipping lattes in their SGD 250k offices while the rest of us get to watch this whole thing turn into a ghost town. 🤷‍♂️

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    David Cameron

    November 17, 2025 AT 05:13

    They didn't ban crypto. They banned the illusion that you can be a global player and still pretend to be a local regulator. Singapore’s playing 4D chess while everyone else is still on checkers. The cost of credibility isn't just money-it's the silence of the startups that used to fill the co-working spaces.

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    Sara Lindsey

    November 17, 2025 AT 21:17

    Look I get it the rules are crazy but think about it this way no more sketchy projects pretending to be legit because they have a Singapore address now that’s actually a win for real builders who want to do right by their users 💪🔥

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    Kevin Hayes

    November 19, 2025 AT 02:13

    The regulatory architecture MAS has implemented is not merely stringent-it is a structural reconfiguration of the financial ecosystem. The DTSP licensing framework, when viewed through the lens of international financial jurisprudence, represents a paradigmatic shift toward extraterritorial compliance enforcement. This is not regulatory overreach-it is the logical culmination of a jurisdictional imperative to prevent systemic reputational contagion.

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    Albert Melkonian

    November 20, 2025 AT 03:10

    It’s important to recognize that Singapore is not rejecting innovation-it is filtering it. The goal isn’t to stop progress but to ensure that progress doesn’t come at the cost of trust. The few who remain will be the ones who built for sustainability, not hype. That’s not a loss. That’s evolution.

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