Gemini Gains Preliminary Approval from Singapore Regulator

Key Takeaways

• Gemini dubs  Singapore as “central to our global strategy.”
• If Gemini’s full MPI license is approved,it will be allowed to exceed volume limits for payment institutions in the country.

Leading US-based crypto exchange Gemini has received an in-principle approval from Singapore’s Monetary Authority (MAS) for a Major Payment Institution license(MPI). 

With this approval, Gemini aims to extend its regulatory compliance in Asia as demand for crypto services grows. “This in-principle approval is a major step forward as we work to fully establish ourselves in Singapore,” said Saad Ahmed, Gemini’s Asia-Pacific head, in a blog post.

Highlighting the significance of Singapore as Gemini’s second-largest market, Ahmed added that the city-state remains “central to our global strategy.”If Gemini’s full MPI license is approved, the New-York based crypto firm will be allowed to exceed volume limits for payment institutions in the country. The full license allows the exchange to exceed the $4.4 million monthly limit for two or more payment services. 

Gemini’s push into Singapore comes amid tightening crypto regulations in other regions. In Canada, escalating regulatory requirements led Gemini, along with exchanges like Binance and OKX, to announce their exit from the market. Gemini had previously pre-registered with Canadian authorities but ultimately cited the heavy regulatory environment as a barrier to continued operation. Canadian users have until December 31, 2023, to withdraw funds from Gemini’s platform.

In contrast, Singapore has emerged as an attractive hub for crypto firms, with MAS encouraging digital asset innovation while maintaining strict regulatory oversight. The Payment Services Act, introduced by MAS in 2019 and recently updated with investor protection measures in July 2023, allows companies like Gemini, Coinbase, and Kraken to operate under a clear framework.

Gemini’s Singapore operations are set to expand rapidly. The exchange, currently with a team of over 40 employees in Singapore, plans to double its headcount and has begun hiring for roles across compliance, engineering, product, and finance. “We’re expanding to meet the needs of our clients and to serve as our Asia-Pacific hub,” Ahmed said. The company is also moving into a larger office space to accommodate its growing team.

This latest approval follows Gemini’s recent regulatory approval in Europe, including a license from France’s Autorité des marchés financiers in January, allowing the platform to operate as a virtual asset service provider. This authorization enables Gemini to offer over 70 digital currencies to French customers, furthering its expansion in multiple global markets.