Paxos Secures Approval in Singapore: A Game-Changer for Stablecoins
By Iris Coleman
Published on June 13, 2025
In an exciting development for the cryptocurrency landscape, Paxos has attained full approval from Singapore’s central bank to issue stablecoins, thereby solidifying its foothold in the rapidly evolving digital payment sector. This strategic move not only empowers Paxos to offer digital payment tokens but also aligns with Singapore’s stringent regulatory framework, paving the way for enhanced financial services on a global scale.
The Significance of Paxos’s Approval
As noted by the reputable outlet, The Block, Paxos Digital Singapore Pte. LTD.’s newly acquired ability to provide services as a Major Payments Institution (MPI) marks a pivotal moment. Walter Hessert, head of strategy at Paxos, articulated that this approval is a crucial step in democratizing access to financial services across borders. With prior authorizations in the U.S. and the United Arab Emirates, Paxos is not just a player; it is a leader in the global cryptocurrency arena.
Alliance with DBS Bank: A Strategic Partnership
In tandem with this monumental approval, Paxos has forged a partnership with DBS Bank, Singapore’s leading financial institution. This collaboration will revolve around cash management and the custody of stablecoin reserves. Evy Theunis, head of digital assets at DBS Bank’s institutional banking group, expressed enthusiasm for the partnership, emphasizing DBS’s commitment to innovation within the digital asset ecosystem.
DBS Bank has been at the forefront of crypto engagement, having launched a fiat-to-crypto exchange in 2020 and collaborating with the decentralized gaming platform Sandbox to craft a unique metaverse experience. This partnership with Paxos further cements DBS’s integral role in shaping the future of digital assets.
Navigating Singapore’s Regulatory Landscape
Paxos joins an exclusive group of 19 firms—comprising the likes of Blockchain.com, Circle, and Coinbase—that have successfully obtained the Major Payment Institution license from the Monetary Authority of Singapore (MAS). This license signifies compliance with robust standards, including a base capital requirement of S$250,000 and a permanent business presence in Singapore. Such a regulatory backdrop not only instills confidence among investors but also sets a benchmark for other jurisdictions aiming to regulate digital currencies effectively.
What This Means for the Future
Paxos’s achievement in Singapore serves as a beacon for blockchain innovation and fintech evolution. As the cryptocurrency market attempts to carve out its niche in mainstream finance, regulatory approvals like this could unlock tremendous potential for various stakeholders—from institutional investors to everyday consumers seeking seamless digital transactions.
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