Bsquared Technology Pte Ltd doesn’t have auditors to answer to yet, but it will. Singapore’s central bank has ordered the crypto company to submit a closure certificate confirming that all customer funds have been returned. The company told regulators it has no outstanding customer assets.
A license disappeared in 16 months
The Monetary Authority of Singapore revoked Bsquared’s major payment institution license on Wednesday after an on-site inspection revealed a series of problems.
Regulators found loopholes in the way the company managed risk and handled conflicts of interest. There was also failures follow the central bank’s outsourcing rules.
Worse, officials said Bsquared had provided false or misleading information to MAS on multiple occasions, from the time it first applied for the license to the inspection itself. The company, also known as BSQ, had held the license for only 16 months.
MAS pulls the plug on Bsquared’s crypto operations. Source: MAS
MAS is not done with Bsquared
The central bank made it clear that revoking the license is not the end of the matter. MAS said it is now reviewing the conduct of key company officials, indicating that people within the company could face separate consequences.
Singapore has authorized 37 entities to offer digital payment token services. Revocations are rare. The action against Bsquared warns other operators that the regulator will act against companies that do not comply (or deceive) the authorities.
Image: Fintech News Singapore
A center that maintains its standards
Singapore has earned a reputation as one of Asia’s major hubs for the cryptocurrency business. Coinbase and Ripple maintain regional offices there. Crypto.com has its global headquarters in the city-state.
That position is due in part to the seriousness with which regulators treat licensing requirements. Last year, MAS rejected an application from AmazingTech, the operator of Tokenize Xchange, and the Department of Commercial Affairs subsequently launched an investigation into the company.
He Revocation B squared It fits a pattern: Singapore wants the business, but not at the cost of oversight.
Beyond payments, deeper integration
The city-state has also been expanding its digital asset ambitions in other areas. Singapore Gulf Bank recently launched a service that allows institutional clients to mint and redeem stablecoins directly through their bank accounts via the Solana blockchain.
Featured image of KOLN, TradingView chart
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