The Monetary Authority of Singapore (MAS) explained the differences in how it treats the Bitcoin exchanges Binance and FTX in light of the FTX crisis.
“Although both Binance and FTX are not licensed in Singapore, there is a clear difference between them. Binance actively attracted users in Singapore, while FTX did not,” the statement said.
The regulator noted that Binance offered listings in Singapore dollars and introduced local payment options such as PayNow and PayLah. MAS also reported receiving \”several complaints\” about the platform from January to August 2021.
In September of the same year the regulator added Binance to the \”Investors’ Alert List\” (Investor Alert List, IAL) and noted that it did not oversee the company’s activities.
After this, the Bitcoin exchange promised to ban customers from using the Singapore dollar in platform operations and removed apps from regional App Store and Google Play.
The MAS did not see grounds to include FTX in the IAL, since \”there was no evidence of a breach of the Payment Services Act\”. Binance was subject to a corresponding investigation.
“There are hundreds of such exchanges [as FTX] and thousands of other offshore entities that take investments not in crypto assets. It is impossible to include all of them on a list, and no regulator in the world has done so,” MAS officials explained.
The agency added that \”the ongoing turmoil in the industry serves as a reminder of the enormous risks associated with trading cryptocurrencies\”.
Back in December 2021, Binance withdrew its application to MAS for a licence for its local subsidiary.
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