- Binance Singapore withdrew its crypto license application with the MAS.
- The firm will stop offering services by February 13, 2022.
- Binance.sg announced that Singapore will remain as their blockchain innovation hub.
Binance Singapore, the Singapore division of global crypto exchange Binance, announced it has withdrawn the crypto license application with the Monetary Authority of Singapore (MAS).
By February 13, 2022, Binance will stop offering services through its local site, Binance.sg, and will close all existing accounts. By that date, users must have closed their accounts.
“We recommend that you take action as soon as possible before the deadline for account closure (13 February 2022). Please note that BAS will not be held responsible for any losses that result from your failure to withdraw your assets and close your account by 13 February 2022,” the firm stated.
Binance Singapore customers can now buy and sell cryptocurrency with their existing assets till January 12, 2022. The users will be unable to buy or sell cryptocurrency from January 13th. They can only withdraw and shift their crypto to third-party platforms or crypto wallets, as well as withdraw their SGD, until Feb 13.
The notice stated, “The locked crypto assets will be held in an escrow account and your fiat assets will be transferred to your StraitsX Personal Account.”
Binance Singapore was one of over 170 firms that applied to the Monetary Authority of Singapore (MAS) for a Digital Payment Token License, which would allow them to provide digital asset services to Singapore residents.
During the licensing process, Binance.sg had been functioning under a temporary exemption. The strict regulations posed by the regulators in the country over other crypto exchanges and now even with Binance withdrawing its plans, the authorities might be planning to promote the state-owned DBS bank’s crypto exchange by keeping every other crypto firm under control.
The firm announced that its operations in the city-state will now become a blockchain innovation hub, with incubation programs, blockchain education, and investments among its initiatives.
Binance Singapore invested in Hg Exchange (HGX), a regional private securities exchange, last week. The firm acquired an 18 percent post-money stake in HGX that was granted a recognized market operator license by the MAS earlier this year.
Binance’s co-founder and CEO Changpeng Zhao later stated on Twitter that the company’s decision to withdraw its application for a license was driven by its investment in HGX.
Richard Teng, Chief Executive Officer of Binance Singapore, stated, “We always put our users first, so our decision to close Binance. sg was not taken lightly. Our immediate priority is to help our users in Singapore transition their holdings to other wallets or other third-party services.”