Singapore approves Ripple’s Major Payment Institution license application
Ripple said Singapore is poised to "reap the myriad benefits" that come with supporting digital asset technology.
The Monetary Authority of Singapore (MAS) has approved Ripple’s application for a Major Payment Institution (MPI) License in principle.
Commenting, Ripple CEO Brad Garlinghouse said Singapore is “taking a pragmatic, innovation-first approach to crypto.” Also, Garlinghouse said he is proud that Ripple is one of only a few companies to have been granted an MPI License.
Ripple stated that its Asia-Pacific cross-border payment solutions, servicing businesses and financial institutions, had experienced massive growth in 2022. This expanded its Singapore base, doubling the staff to cope with demand.
Furthermore, the company commended the central bank’s innovative approach to fintech regulation, adding that the region is set to “reap the myriad benefits” of supporting digital asset technology while spearheading future global regulation. The statement signed off:
“This in-principle approval marks an important inflection point in the country’s positive and progressive adoption of digital assets, and Ripple looks forward to continued growth and expansion in Singapore and throughout the APAC region.”
The MAS operates three types of payment service provider licenses – Standard Payment Institution, Major Payment Institution, and Money-Changing.
The MPI License allows the holder to conduct business without being subject to thresholds on daily/monthly limits. The eligibility criteria include having a Singaporean-registered company or branch, a permanent place of business storing records, a minimum capital base of $250,000, and at least one director with Singapore residency or citizenship.
MAS also stated that the applicant’s track record, financial condition, and whether the company and related entities are already subject to “proper supervision by a competent regulatory authority” may also be considered.
The license approval comes when the ongoing U.S. Securities Exchange Commission (SEC) vs. Ripple lawsuit is close to final judgment.
The SEC sued Ripple in December 2020 over allegations of offering and raising $1.3 billion of unregistered securities through the XRP token.
XRP recorded a 5.7% swing on the June 22 daily candle to peak at $0.5272 – marking a seven-day high.