From research to a working plan.
Regulation and authorities
MAS clarified in June 2025 that firms serving Singapore customers with digital payment tokens or capital-markets products fall within existing financial-services regimes. A separate digital-token-service-provider regime applies to relevant services supplied solely overseas. MAS says it generally will not issue licences for that overseas-only model. Define customer geography before choosing Singapore as a base.
Exchanges and provider checks
Use the MAS Financial Institutions Directory and select the Digital Payment Token Service activity. Match the legal entity to the contract offered during account opening and inspect its licensed activities. Save the directory record with the date checked. Ask the provider which entity handles your country of residence and the product you intend to use.
Taxes and records
IRAS applies normal income-tax rules to businesses receiving or trading digital tokens. Trading profits can be taxable, while the treatment of a disposal as a capital gain depends on its facts. Purpose, transaction frequency and holding period matter. Record business payments in Singapore dollars using the valuation method described by IRAS.
Starting a business
Write down the token type, customer locations, custody arrangements and revenue-generating services before establishing the regulatory route. A Singapore company serving only overseas customers must examine the DTSP restrictions at the start of planning. The same label, such as exchange or wallet, can conceal materially different activities and obligations.
Banking and payments
Prepare a funds-flow diagram connecting the customer, company, bank and token wallet. Keep evidence of the relevant licensed entity and explain whether an account will receive business revenue or customer money. Request written confirmation of the account’s permitted use before promising fiat deposits or withdrawals to customers.
Related coverage
Country-specific reporting will appear here as it is published. Explore the jurisdiction’s official updates in the sources above.
All original articles →