Crypto Regulations in Singapore 2024

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In 2025, Singapore continues to be a leading hub for cryptocurrency with a robust regulatory framework. Its digital asset innovation is guided by a proactive and evolving regulatory framework to enhance the rules and regulations of crypto. 

Currently, Singapore is tightening its hold on security and transparency to curb money laundering. The new regulations also intend to enhance investors’ confidence in the crypto market. 

Major Developments in Crypto Regulations in Singapore 2025

June 30, 2025- FMSA License 

Under the  Financial Services and Markets Act 2022 (FSMA), all crypto firms based in Singapore offering cross-border crypto services must obtain a license.

MAS clarifies that it is mandatory for the digital token service providers (DTSPs) offering services in Singapore to obtain a license. 

Failure to comply will result in a penalty, including fines up to SGD 250,000 and prison terms of up to three years. 

June 6, 2025– Monetary Authority Of Singapore (MAS):

This approach will be implemented in June. It aims to enhance the safeguards for digital payment token (DPT) service providers, including crypto exchanges, and protect retail investors. 

Under consumer protection measures, lending and staking services for retail customers are now restricted to reduce risk exposures. 

Stablecoin Regulation in 2025:

Stablecoin issuers must be regulated under the Payment Services  Act for providing “stablecoin issuance services”. 

The only stablecoins that follow strict requirements set by MAS, ensuring higher standards of solvency and consumer protection, will be labeled as “MAS-regulated stablecoin.”

Updates stricter marketing and promotion rules:

In 2025, the MAS expanded its regulatory update regarding security for investors in crypto trading.

This amendment includes measures to protect customer assets, disclose risks to retail customers, and handle conflicts of interest. 

Snapshot of key regulations in 2025: 

AREAREQUIREMENT/ CHANGELicensingMandatory for all DPT providers under PS ActAML/CFTEnhanced due diligence, monitoring, and reportingConsumer protectionSafeguards of assets, audit functions, and restrictions on retail lendingStablecoinsRegulated issuance, ‘MAS-regulated’MarketingRisk disclosure requiredTaxationGST exemptionCross-border servicesOverseas providers must comply with Singapore’s regulations 

What The Government and Regulators are Saying 

Monetary Authority of Singapore (MAS): Serves as the country’s central bank and integral financial regulator. It oversees licensing businesses that provide “digital payment tokens”, such as crypto exchanges and digital wallet providers.

MAS enforces anti-money laundering (AML), counter-terrorist financing (CFT), and KYC standards for crypto investors. It prohibits misleading tactics, protecting the users from crypto fraud. 

Crypto License in Singapore 2025

The license regulation started from June 30, clarified that the Digital token service providers (DTSPs) will have to cease activities without an official MAS-regulated license. 

There are no big changes to what licensed providers can do, and no transition period is given for service providers. 

Crypto Tax 2025 in Singapore 

No Capital Gains Tax: Singapore does not impose capital gains tax on profit from selling or trading cryptocurrencies. Selling or buying crypto as a personal investment is entirely tax-free. 

Income tax: Trading crypto as a business or receiving it as a payment for goods or services is subject to Singapore’s standard income tax. This law applies to all professional traders and crypto-related businesses. 

Goods and Services Tax (GST): An 8% GST applies to fees in crypto transactions. However, buying and selling cryptocurrencies themselves are generally exempt from GST. Airdrops, mining, Staking, and ICOs are subject to income tax.

Reporting: The crypto in income tax is required to be reported annually. The deadline for e-filing is April 18, 2025, and for paper filing, it is April 15, 2025. 

Crypto Adoption in 2025

29% of Singapore residents have owned or currently own cryptocurrency. This marks a significant decrease from 40% in 2024. 

23% of crypto users in Singapore believe Bitcoin will surpass $250,000 by 2030. Currently, 28% of crypto investors hold a memecoin.

Government Holdings: No official disclosure yet; policies prioritize fostering an innovative and responsible digital asset ecosystem while mitigating risks. 

Summary Table of 2025:

CRITERIAVALUE IN 2025Crypto adoption rate (ownership)29%Crypto adoption rate in 202440%Public awareness of crypto 94%Most popular cryptos (among investors)Bitcoin 68% & Ethereum 48%Investors holdings > 1 type of crypto79%Investors confident in mainstream adoption57%Singapore’s global crypto ownership rank2ndSingapore’s crypto-friendly city rank4th

Conclusion 

Nearly half of crypto users in Singapore exited the market in 2025. Among them, 67% made significant profits from selling their holdings. The Singaporean government recognizes the potential of cryptocurrency and other digital assets but continues to prioritize consumer protection and financial stability. Authorities have repeatedly advised investors to exercise caution when entering the market.