Singapore's MAS releases final regulatory response document for DTSP, to implement DTSP-related provisions by the end of the month

The Monetary Authority of Singapore (MAS) recently released the final response document for the regulation of digital token service providers (DTSP) under Part 9 of the Financial Services and Markets Act 2022. MAS confirmed that DTSP-related provisions will officially come into effect on June 30, 2025. It clarified that all entities operating in Singapore but specifically providing digital token services to foreign entities must obtain a DTSP license, otherwise it will be illegal. MAS reiterated that there will be no transition period, licenses will only be issued in "extremely limited" cases, and it has set a yearly fee of SGD 10,000 and a minimum capital requirement of SGD 250,000. It also strengthened regulatory standards for anti-money laundering, cybersecurity, and technology risk management.