The managing director of Singapore’s central bank, Ravi Menon, has given recent statements that are as refreshing as they are confusing. You’d stand up in joy as a crypto trader when you hear him say that he wishes to Singapore being a cryptocurrency hub in the future.
However, you’d instantly regret your joy and sit down with disappointment when he completely snugs the idea of crypto trading.
Singapore’s Concept of Crypto
According to Ravi, there are two sides to cryptocurrencies. For him, speculative trading of cryptocurrencies isn’t great for public and thus he shuns this practice.
Mind you, Singapore has been quite strict about cryptocurrency trading and won’t even crypto-related advertisements to be publicized. On the other hand, it has been taking certain measures that have rather confused people as to what exactly the government’s stance is on cryptocurrencies.
Now, some fog has been finally cleared. One of the highest officials at the central bank of Singapore thinks using cryptocurrencies in tokenized form or finding ways to use digitized money is what he would like to endorse and make Singapore a hub for.
However, speculative trading is an idea that he isn’t a big fan of. It should be reminded here that many retailers in the country invested in cryptocurrencies and were left deprived of their savings because they couldn’t understand how trading worked.
Singapore’s Working on Crypto Concepts
What Ravi said is probably true and evident from the measures that the government is taking. For example, they have already come up with a working model of a digital currency to secure financial transactions on a government level.
Project Ubin is yet another one of the initiatives from the government that shows the endorsement of the blockchain technology and its application in the financial sector. This project aims to facilitate payment settlements by automating the process and reducing human involvement.
Singapore now wants to work further on its existing projects and scale them up to international levels. Since they seem so interested in the technology, they’ll probably find a way to safely allow crypto brokers to have some freedom and people to trade digital currencies however they want.