Coinbase announced on Oct. 1 that it has secured a major payment institution (MPI) license from the Monetary Authority of Singapore (MAS), following its initial in-principle approval in Singapore last year. This license, which comes one year after MAS granted Coinbase in-principle approval, will enable the company to expand its digital payment token services to individuals and institutions in Singapore.
The Monetary Authority of Singapore has specified that firms with an MPI license can conduct payment services without being subject to a transaction limit of 3 million Singapore dollars ($2.2 million) for any payment service.
In addition to offering payment services without the 6 million SG$ ($4.4 million) transaction limit, companies holding an MPI license also have the flexibility to provide services related to e-money account issuance and money-changing services.
Coinbase has emphasized that its new license not only reflects the company’s commitment to its operations but also its responsibility to the growing crypto and Web3 community in Singapore. The company has been actively working to tailor its products and services to the Singaporean market, including launching PayNow and FAST bank transfers in March 2023.Coinbase has simplified the onboarding process for users on its platform by integrating with SingPass.
Alongside its product partnerships, Coinbase has also expanded its operations in Singapore through collaborations with local blockchain firms like Nansen.ai, Blockdaemon, and Infura to develop the Base blockchain and wallet-as-a-service.
“Since our initial involvement in the Lion City, we’ve identified Singapore as a vital market for Coinbase,” the exchange noted, stating that more than 30% of Singaporeans have owned or currently owned crypto
The announcement added:
“Singapore has naturally become a significant location for this industry. Moreover, Singapore is home to over 700 Web3 companies, making it a pivotal market for the growth of the crypto and Web3 economy.”
However, when contacted by Cointelegraph for comment Coinbase did not immediately respond.
Coinbase isn’t the sole major crypto company to receive an MPI license recently. In August 2023, Blockchain.com, a provider of crypto data and wallet services, was granted the license, making it the 12th company to receive approval.
Similarly, In June 2023, Circle, the issuer of the USDC stablecoin, obtained an MPI license, following Crypto.com’s earlier approval.