Upbit, the South Korean cryptocurrency exchange, has made a significant stride in its global expansion plans with the recent in-principle approval from the Monetary Authority of Singapore (MAS) for a Major Payment Institution (MPI) license.
This pivotal regulatory development positions Singapore as a key hub for Upbit’s international operations. Upbit’s parent company, Dunamu, expressed its satisfaction with the approval, recognizing its importance for the subsidiary of Upbit Singapore Pte. Ltd..
Upbit’s Regulatory Breakthrough
The in-principle approval signifies a critical milestone, allowing Upbit to continue offering its services while awaiting the full MPI license. This interim status, a path previously taken by Coinbase, highlights the rigorous regulatory scrutiny that such institutions undergo.
Alex Kim, the founder and CEO of Upbit Singapore, emphasized the strategic significance of the MAS approval, saying, “Since 2018, we have been building solid foundations for a robust digital asset business in Singapore, the leading financial hub in Asia.”
Moreover, Kim underscored Singapore’s role as a global powerhouse in the digital asset innovation space. This approval opens doors for Upbit to cater to retail, institutional, and infrastructure-focused businesses, solidifying its presence in the heart of Asia’s financial sector.
Singapore has been steadily attracting major players in the cryptocurrency industry, with Coinbase and Circle also securing MPI licenses. Circle is gearing up to offer digital payment token services and cross-border and domestic money transfer services in the city-state.
These developments underline Singapore’s growing reputation as a crypto-friendly jurisdiction with a proactive approach to regulation. Upbit’s in-principle approval from the MAS represents a pivotal moment in its global expansion journey.
The South Korean exchange’s establishment in Singapore benefits the company and underscores Singapore’s emergence as a leading hub for digital asset innovation in the Asia-Pacific region. In addition, with this new regulatory approval, Upbit is poised to play a significant role in shaping the future of the cryptocurrency industry in the Lion City.