Crypto exchange Coinbase has secured a full major payment institution (MPI) license under Singapore's Payment Services Act.
Coinbase announced that the recent development comes nearly a year after Coinbase received preliminary approval from the Monetary Authority of Singapore (MAS).
With this license, Coinbase joins a growing list of firms authorized to provide digital payment token services within the Republic.
The granted MPI license allows Coinbase to offer an array of crypto payment services to both individuals and institutions in Singapore.
Presently, the exchange offers trading and staking services to its users.
Staking involves the temporary lockup of users' digital tokens to validate blockchain transactions, thereby earning rewards in the form of additional tokens.
Coinbase Prioritizes Singapore
According to Mr. Hassan Ahmed, the country director of Coinbase Singapore, the local team comprises nearly 100 professionals, including product managers, engineers, business development experts, and legal and compliance personnel.
The crypto firm noted that from their initial involvement in the Lion City, they have identified Singapore as a vital market for Coinbase.
The nation's progressive economic strategies and approach to regulation sync well with their global mission and objectives, it added.
A Coinbase survey conducted in May revealed that 25% of Singaporeans surveyed perceive cryptocurrency as the future of finance, while 32% have either owned or currently own some form of cryptocurrency assets.
Coinbase has responded to local demand by introducing convenient funding options, such as PayNow and FAST bank transfers, along with the SingPass onboarding system earlier this year.
Coinbase Continues to Invest in Web3
Singapore serves as Coinbase's Asia Pacific technology hub, and the company has actively invested in more than 15 Web3 startups in the region through its investment arm, Coinbase Ventures.
In August, Coinbase reported improved financial results, with its second-quarter net loss narrowing to US$97 million from a record US$1.1 billion in the previous year.
The company's Q2 revenue, which exceeded estimates, amounted to US$707.9 million, even though it declined by 12% compared to the previous quarter.
Despite regulatory challenges, including a lawsuit filed by the United States Securities and Exchange Commission (SEC) alleging illegal operations, Coinbase has managed to do well.