Overview
As a central bank, MAS is closely monitoring innovations and growth in the digital asset ecosystem and working through the potential opportunities and risks that come with new technologies – to consumers, investors and the financial system at large.
Our vision is to build an innovative and responsible digital asset ecosystem in Singapore. Collaboration is key to growing the digital asset ecosystem, and the only way to find out what works is through experimentation and exploration – “learning by doing”.
Our explorations into new forms of assets will serve to inform policy markets on the regulatory guardrails that are needed to harness the benefits of Digital Assets, while mitigating its risks.
What are Digital Assets?
A digital asset is anything of value whose ownership is represented in a digital or computerised form.
This is done through a process called tokenisation – which involves using a software programme to convert ownership rights over an asset into a digital token. Many items can potentially be tokenized:
- financial assets like cash and bonds
- real assets like artwork and property
- intangible items like carbon credits and computing resources
Digital assets are typically deployed on distributed ledgers that record the ownership and transfer of ownership of these assets.
Through tokenisation, high value financial and real economy assets can be fractionalised and exchanged over the internet on a peer-to-peer basis. This could potentially enhance the efficiency, accessibility, and affordability of financial services, increase liquidity in financial markets, and enhance economic inclusion.
Strategy to Develop Digital Asset Ecosystem
Potential of distributed ledger technology
Cross-Border Payments and Settlements
- Trade Finance
- Capital Markets
Support the tokenisation of financial and real economy assets
Anchor players with strong value propositions and risk management
Enable digital currency connectivity
Development Initiatives
Project Orchid
Building on the rich findings from Global CBDC Challenge 2021, Project Orchid aims to build the foundational digital infrastructure and blueprint required for a future digital currency ready-platform.
Ubin+
Collaboration with international partners on cross-border foreign exchange (FX) settlement using digital currencies.
Project Guardian
Collaborative initiative with the financial industry that seeks to explore the economic potential and value-adding use cases of asset tokenisation.
Members of the public should note that:
- MAS and companies participating in MAS’ initiatives will not ask for your personal banking information, security login credentials or private keys to digital wallets.
- MAS advises the public to be alert and wary of unsolicited calls or messaging which offer deals that seem too good to be true; request personal information; give instructions to transfer funds to a third party account or offer investments into projects.
If you encounter any suspected scams related to digital assets involving MAS, please DO NOT transfer any funds, and report the matter to MAS.
For impersonation scams involving institutions regulated by MAS or phishing scams, please make a police report via the Police Hotline at 1800-255-0000, or submit it online at www.police.gov.sg/iwitness .
What's New
-
"Growing a Vibrant Insurance Linked Securities Market in Asia" - Speech by Mr Lim Cheng Khai, Executive Director, Financial Markets Development Department, Monetary Authority of Singapore, at the Artemis ILS Asia Conference 13 July 2023
Steve Evans, Editor in Chief, Artemis Distinguished guests Ladies and gentlemen Introduction 1. Good morning. Thank you for having me at the Artemis ILS Asia Conference. It is good to see the event back for its fifth installation in Singapore. I am happy to be here, to reconnect with friends I’ve met in Artemis New York...
-
Testing Monetary Policy Statements Pras
Testing short summary
-
Testing FATF Statement
Testing short summary
-
"Yes to Digital Asset Innovation, No to Cryptocurrency Speculation" - Opening Address by Mr Ravi Menon, Managing Director, Monetary Authority of Singapore, at Green Shoots Seminar on 29 August 2022
At the Green Shoots Seminar, Mr Ravi Menon, Managing Director, MAS, explained the complexities of the digital asset ecosystem and its different components – and what MAS is actively promoting; what MAS is discouraging; and what are the risks MAS is seeking to manage.
-
Project Dunbar
Project Dunbar proved that financial institutions could use CBDCs issued by participating central banks to transact directly with each other on a shared platform. This has the potential to reduce reliance on intermediaries and, correspondingly, the costs and time taken to process cross-border transactions. The project...