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Singapore Bars Crypto Service Providers for Public Ads

Godfrey Benjamin   Jan 18, 2022 04:15 2 Min Read


   

In a bid to protect members of the investing public, the Monetary Authority of Singapore (MAS) has prohibited all outdoor advertisements for all cryptocurrencies or digital payment tokens (DPT) service providers. 

Curbing Misinformation in Crypto Ads

The move to ban crypto ads in public space for all crypto service providers was hinged on the fact that many of the ads can downplay the risks inherent in investing in the digital currency ecosystem. The advice was contained in the newly published “Guideline on the Provision of Digital Payment Token Services to the Public” that was directed to both the licensed crypto service providers as well as those in the transitional period.

According to the MAS, “DPT service providers should conduct themselves with the understanding that trading of DPTs is not suitable for the general public. These Guidelines set out MAS’ expectation that DPT service providers should not promote their DPT services to the general public in Singapore.”

However, the prohibition of public ads is not a blanket ban on advertisement for crypto players as a whole. According to the MAS, those who wish to publish ads can do so through the dedicated website or via any operating mobile apps they control.

More Countries, More Crypto Ads Crackdown

Regulators and lawmakers worldwide are quite wary of fraudulent ads or those that downplay the risks of excessive exposure to unregulated and volatile crypto assets. Last, the unknown developers behind the Floki Inu memecoin flooded the streets of London and the transport unit with the token’s ads, a move that drew swift criticism from one of the city’s outspoken lawmakers, Sian Berry.

Beyond the United Kingdom and Singapore, other European regulators, particularly the French Ads watchdogs, have also placed a blanket ban on public advertisements for digital currency service providers respectively. While it is not a global affair yet, there is an expectation that more regulators will trail this path with the rising rate of scams in the nascent ecosystem.


Image source: Shutterstock

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