The Association of Cryptocurrency Enterprises and Startups, Singapore (ACCESS), has developed a Code of Practice in partnership with multinational law firm Linklaters.
A Global Legal Post report published Aug. 19 revealed that ACCESS had the support of the Monetary Authority of Singapore (MAS) — the country’s central bank and regulatory authority — and also consulted the Association of Banks in Singapore to launch the new initiative.
Tackling AML/CFT Risks
The new Code of Practice falls within the scope of ACCESS’ “Standardization of Practice in Crypto Entities,” which provides detailed Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) guidelines (including Know Your Customer (KYC) best practices) for entities in the digital asset industry.
The new Code is intended to further promote regulatory compliance and tackle concerns connected with AML/CFT risks.
In a statement, Peiying Chua — head of Linklaters’ financial regulation practice in Singapore — characterized the initiative as industry-changing and said it would “enhance the conduct of crypto-asset and blockchain companies in Singapore and further cement Singapore’s reputation as a leading jurisdiction in the blockchain and fintech space.”
A bid for global fintech competitiveness
ACCESS chairman Anson Zeall has pointed to recent developments in Singapore’s crypto regulatory regime, noting that it is becoming more competitive at the international level.
He noted that newly-proposed changes to the country’s goods and services tax (GST) in relation to digital payment tokens will help to diminish expenses and costs for businesses in the emerging sector.
Zeall’s perspective was recently echoed by a partner at PwC Hong Kong’s corporate tax practice, who has argued that the government’s bid to drop the 7% GST for the use of cryptocurrencies to pay for goods and services will have a positive impact on crypto exchanges, asset managers and blockchain entrepreneurs.