Knowledge Highlights 26 November 2024
Digital tokens and customer protections (Part 1)
Allen & Gledhill Partner Adrian Ang and Associate Alexander Fong contributed an article titled “Digital tokens and customer protections (Part 1)” to Bits & Bytes, a monthly online bulletin hosted on the website of the Centre for Technology, Robotics, Artificial Intelligence and the Law (TRAIL) at the Faculty of Law, National University of Singapore.
The global regulatory environment governing the sale, purchase, exchange, transfer and custody of cryptocurrencies is changing. Along with risks related to money laundering and terrorism financing, the proliferation of trading and speculation in relation to cryptocurrencies the world over has given rise to customer protection concerns and the need to guard against risks arising out of the insolvencies of cryptocurrency service providers and to prevent market abuse and unfair dealing in relation to cryptocurrencies.
The first of a two-part series, this article focuses on regulatory developments in Singapore specific to “cryptocurrencies” (under Singapore law, generally “digital payment tokens” (“DPTs”)), including recent proposals by the Monetary Authority of Singapore (“MAS”) relating to customer protection requirements and the integrity of the DPT market.
