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Ceffu, Binance’s custody unit, said today that it plans to apply for a license to offer payment services in Singapore.
Nikkei Asia reports that Binance’s custody unit, Ceffu, announced on Thursday that it is planning to apply for a permit that would allow it to offer payment services in Singapore. Binance is making another attempt to offer cryptocurrency services in the country as the exchange comes under increased scrutiny from United States regulators.
The exchange’s affiliate, Binance Asia Services, withdrew a license application in December 2021 without specifying its reasons for doing so. The firm merely mentioned “strategic, commercial and developmental” considerations.
Ceffu’s Vice President, Athena Yu, said in a statement to the media outlet Reuters:
Once the relevant amendments to the Payment Services Act go live and the application for a custody license opens, Ceffu will make its official application with the MAS (Monetary Authority of Singapore).
At the end of November 2022, Binance relaunched Binance Custody as Ceffu, pivoting from retail to corporate customers for the Singaporean market. Binance’s unit caters to professional investors looking for custodial and other digital asset services, and it is for this business that Binance wants to be licensed.
Binance was forced to shut down its Singapore platform to retail investors amid pressure from local financial authorities. However, it has offered services from the Asian financial hub to institutional clients.
Athena Yu said in a statement to Nikkei:
Given the city’s reputation for innovation, good corporate governance and a strong regulatory framework, it’s no surprise that institutional investors are attracted to set up shop here.
Singapore Takes a Tougher Stance on Crypto Activities
Beyond facing issues in the U.S., Binance has also faced challenges from Singapore. After Binance dropped its application to provide crypto services in the country, the MAS ordered the exchange to stop soliciting business from “mom-and-pop” investors. Binance is also under investigation by Singapore’s white-collar crime investigation unit on whether it violated any rules.
The MAS published proposals in October 2022, seeking to reportedly expand its purview to safeguard consumer interests in the crypto space.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.