Ripple Gains Regulatory Approval in Singapore for Digital Asset Services
• Ripple has obtained in-principle regulatory approval from the Monetary Authority of Singapore (MAS) to offer digital asset payments and token products.
• The approval will help Ripple scale its “On-Demand Liquidity” service, which uses XRP liquidity to customers.
• The approval will enable Ripple to better support its customers looking to use blockchain and crypto technologies to build a more inclusive and borderless financial system.
Ripple Obtains In-Principle Regulatory Approval in Singapore
Blockchain-based payments firm Ripple has received an in-principle regulatory approval from the Monetary Authority of Singapore (MAS), allowing it to offer digital asset payments and token products in the city-state. This approval is expected to help the company scale its On-Demand Liquidity service, which uses XRP liquidity to customers.
Positive Response from Ripple’s Leadership
Ripple CEO Brad Garlinghouse commended the Singaporean regulator for its “pragmatic, innovation-first approach” towards cryptocurrency services, noting that it will provide a “prominent gateway” for Ripple’s business operations in Asia Pacific region. Moreover, Ripple’s chief legal officer Stu Alderoty also praised MAS for building a workable framework that unites consumer protection, market integrity and innovation.
Supporting Forward-Thinking Customers
The approval granted by MAS is expected to enable Ripple to better support its forward-thinking customers looking to hone in on blockchain and crypto technologies so as to build a more inclusive and borderless financial system. In 2022, the company had also managed double their number of employees at their Asia Pacific headquarters due to an increase of ODL transactions flowing through them.
Enabling International Payments
The primary purpose of On-Demand Liquidity is moving XRP around the world without banks acting as intermediaries between them. This helps facilitate cheap international payments with low transaction fees as well as reduces exposure risks associated with foreign exchange fluctuations . Moreover, this technology can be used by financial institutions such as money remittance companies or banks for cross border payments without having funds tied up across multiple accounts all over the world.
Singapore Paving Way For Other Regulators
Apart from providing efficient payment solutions, Alderoty noted that Singapore’s early leadership is paving way for other regulators looking develop a clear taxonomy and licensing framework for digital assets companies like Ripple who are offering compliant products that adhere with regulations set out by government bodies around the world
