Singapore’s Far-reaching Policy Bans Crypto Advertising of ‘Any Form’ in Public Spaces – Branding in Asia Magazine

This includes advertisements or promotional material in public transport, broadcast media or periodical publications, third-party websites, social media platforms, public events or roadshows, the government said.

Companies in the cryptocurrency industry have been told by Singapore’s financial regulator that they can no longer advertise their services to the public and that “service providers should conduct themselves in the knowledge that trading TPRs is not suitable for the General public”.

The new government policy issued by the Monetary Authority of Singapore (MAS) states that service providers must limit marketing activities to their own official websites, mobile apps or social media accounts.

The directive, released on Monday, extends to a number of companies, from banks to payment service providers and crypto exchanges, which is in line with officials’ desire to curb retail speculation in volatile digital assets. .

the policy guideline issued by MAS did not mince words on the official view of DPTs (digital payment tokens).

“The Monetary Authority of Singapore has consistently warned the public that trading in digital payment tokens (“DPT” or commonly referred to as cryptocurrencies) is highly risky and not suitable for the general public. The public should not be encouraged to engage in the TPD business.

The statement went on to elaborate on the advertising ban guidelines, saying:

“This includes the placement of any form of advertisements or promotional material in public areas such as Singapore public transport, public transportation venues, broadcast media or periodical publications, third party websites, media platforms social events, public events or roadshows.”

Crypto ATMs are subject to new guidelines

The policy also applies to cryptocurrency ATMs which the government considers a “form of promotion” saying that “such convenient access may mislead the public to trade TPDs impulsively, regardless of the risks of trading DPT.

Therefore, DPT service providers should not provide physical ATMs in public areas of Singapore to facilitate public access to their DPT services, the government said.

The new guidelines will apply to all businesses offering crypto services in Singapore, including those licensed under Singapore’s Payment Services Act, which gives crypto businesses a path to regulated operations there. .

“There is a very clear line drawn in the sand,” said Lena Ng, partner at Clifford Chance who advises cryptocurrency players in Singapore and internationally in an interview with Bloomberg.

“We initially expect companies to mandate suitability testing for retail customers, tighten trading boundaries and increase training for sales staff regarding interactions with retail customers,” said Chris Holland, partner of regulatory consultancy firm Holland & Marie. CoinDesk.

Marilyn J. Hernandez