Singapore crypto industry body releases AML/CFT best practice guideline

By Staff Writer

A Singaporean blockchain industry body with support by the Monetary Authority of Singapore (MAS) has developed a code of practice for the crypto industry, according to a report.

The so-called The Standardization of Practice in Crypto Entities, or SPICE, has been developed by the Association of Cryptocurrency Enterprises and Startups (Access)  in consultation with law firm Linklaters and the Association of Banks in Singapore (ABS), according to Global Post.

The Code of Practice addresses the anti-money laundering and counter-terrorist financing (AML/CFT) concerns often associated with cryptocurrencies due to the anonymity that they afford their users.

According to the report, the best practices complement with Singapore’s Payment Services Act 2019 by providing guidance which crypto-asset and blockchain companies in Singapore should comply with know-your-customer (KYC) best practices as well as other key issues relevant to players in the digital asset industry.

Singapore is considered as one of the leading hubs for blockchain and cryptocurrency startups in the region, thanks to the progressive attitude adopted by the MAS and other relevant regulatory agencies.

Recently, the Singaporean tax authorities have proposed to scrap the 7% goods and services tax (GST) on digital payment tokens (or cryptocurrencies), which many believe will help boost the city-state’s attractiveness as a jurisdiction to launch fintech startups.

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