Author: Aiden and Jay Jo
Source: Tiger Research
Translation: Blockchain Plain Language
Summary
- Singapore has attracted numerous Web3 companies with its flexible regulatory environment, earning the nickname "Delaware of Asia". However, the proliferation of shell companies and the collapse of high-profile companies like Terraform Labs and 3AC have exposed regulatory loopholes.
- In 2025, the Monetary Authority of Singapore (MAS) will implement the Digital Token Service Provider (DTSP) framework, requiring all companies providing digital asset services in Singapore to obtain a license, with mere company registration no longer sufficient for digital asset business.
- Singapore continues to support innovation but significantly strengthens regulatory measures, with the government demanding greater accountability and compliance. Web3 companies in Singapore need to develop operational capabilities or consider relocating to other jurisdictions.
1. Changes in Singapore's Regulatory Environment
For years, global enterprises have referred to Singapore as the "Delaware of Asia" due to its clear regulations, low corporate tax rates, and quick registration process, attracting global businesses. This foundation equally applies to the Web3 industry. Singapore's business-friendly environment naturally became an ideal destination for Web3 companies. MAS recognized the growth potential of cryptocurrencies early on, proactively developing a regulatory framework that provided space for Web3 companies to operate within the existing system.
[The rest of the translation continues in the same professional manner, maintaining the original structure and meaning while translating to English.]
