Bitstamp’s Regulatory Win in a Changing Landscape

Bitstamp, one of the world’s longest-running cryptocurrency exchanges, has received a Major Payment Institution (MPI) license from the Monetary Authority of Singapore (MAS), the company announced Thursday.

This regulatory milestone allows Bitstamp to offer its crypto services to residents of Singapore and marks a strategic entry point for the exchange’s broader expansion across the Asia-Pacific (APAC) region.

The new license comes at a pivotal moment for Singapore’s crypto industry. In June, MAS introduced sweeping new regulations, mandating that all crypto exchanges serving overseas customers must obtain a license or face severe penalties, including expulsion from the market, hefty fines, and even imprisonment.

The regulator made it clear that its licensing standards are exceptionally stringent, warning that most applicants would not be approved due to heightened money laundering risks and the challenges of supervising firms whose main activities are outside Singapore.

Bitstamp’s successful licensing is especially notable given these high barriers to entry. The exchange, now owned by Robinhood, brings over 14 years of operational experience and a reputation for regulatory compliance, having secured more than 50 licenses globally.

Its Singapore license enables it to provide a full suite of payment services, including cross-border and domestic money transfers, and positions the firm to serve both institutional and retail clients in one of the world’s most closely watched crypto markets.

Singapore’s Evolving Role as a Crypto Hub

Singapore has long been recognized as a fintech and crypto innovation hub in Asia, rivaling Hong Kong as a gateway between global digital asset markets and the region.

The city-state’s progressive regulatory approach has attracted a wave of international crypto and Web3 companies, especially in 2024, when MAS approved twice as many crypto business applications as the previous year.

However, the regulatory environment has tightened considerably. The new rules require all Singapore-based crypto firms offering services to overseas clients to hold a Digital Token Service Provider (DTSP) license under the Financial Services and Markets Act (FSMA) by June 30, 2025.

Firms operating without a license now face criminal penalties, including fines up to S$250,000 and up to three years in prison. This clampdown aims to close regulatory loopholes and ensure robust consumer protection, anti-money laundering controls, and market integrity.

Despite Singapore’ status as a global crypto hub and high levels of digital asset awareness—94% of Singaporeans are familiar with at least one cryptocurrency—actual adoption remains relatively low.

According to the Independent Reserve Cryptocurrency Index Singapore 2025, only 29% of Singaporeans currently or previously owned crypto, a decline from previous years.

Bitcoin remains the most popular digital asset among local investors, held by 68% of crypto owners.

Bitstamp’s APAC Ambitions

With its new MPI license, Bitstamp is poised to capitalize on rising demand for regulated crypto services across the Asia-Pacific region.

The exchange has established a dedicated APAC team in Singapore to deliver local expertise in compliance, partnerships, and strategic support.

Bitstamp’s expansion strategy includes offering fast fiat on- and off-ramps, institutional-grade trading infrastructure, and robust security standards—features designed to appeal to both institutional and retail clients in the region.

As Singapore’s regulatory landscape continues to evolve, Bitstamp’s entry signals growing confidence in the city-state’s commitment to balancing innovation with robust oversight.

The exchange’s move underscores Singapore’s ongoing role as a critical node in the global digital asset ecosystem, even as local adoption trends remain measured.