Regulatory Sandbox of Crypto Custody Firm Graduated by the MAS
According to the recent reports, Propine has graduated from the fintech regulatory sandbox program run by the Monetary Authority of Singapore. Receiving the graduation from the Monetary Authority of Singapore means that Propine will now be able to operate in Singapore.
With graduation, Propine has acquired the Capital Market Services Licenses. This grants Propine permission to commence full operations in the country.
Propine is a securities services firm that is based in Singapore. The firm has been developed and introduced by the developers to serve institutional clients. It was back in November of 2019 when the firm was granted access to the regulatory sandbox. The regulatory sandbox is governed and monitored by the Monetary Authority of Singapore.
In the regulated sandbox system, Propine participated in mandatory programs and projects for more than a year. It was on January 7, 2021, when Propine was granted to exit the regulatory sandbox of the MAS.
If a firm is found providing its services in Singapore without the acquisition of the Capital Markets Services License, strong legal action is taken against that firm.
Therefore, it is extremely important for any firm to acquire the Capital Markets Services License before it starts operating in the country. The law has been placed under the Securities and Futures Act of Singapore. Therefore, it is critical for any firm to go through the regulated sandbox process set up by the MAS so it can graduate from there and receive the license.
This is exactly what has been achieved by Propine as it has acquired the CMS license from the MAS. Now Propine has the go from the Singaporean regulators to start offering their services in the country. The firm can now start rolling out its services in the country and it is not mandatory that the custodies must be crypto-related.
Propine can offer services that include digital-asset custody, asset servicing, and trade settlement facilitation. In addition to the above, Propine can also offer catering services to the global securities issuers.
The CEO of Propine, Tuhina Singh also commented on their experience with the regulatory sandbox provided by the MAS. Singh stated that the sandbox has proven out to be extremely crucial for the development of their firm.
Throughout the sandbox phase, the firm got to learn so much and made so many amendments/rectifications to their infrastructure. It really helped the firm understand the way it needs to operate and survive in the challenging environment that it may face in real-time.
He stated that the regulatory framework provided by the MAS will help the firm catalyze its development programs. It will allow the firm in participating with major institutions for crypto and token advancements.