Investing Updates: Singapore revokes crypto payment license of Bsquared over regulatory breaches

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https://cointelegraph.com/news/singapore-revokes-crypto-payment-licence-of-bsquared-over-regulatory-breaches?utm_campaign=rss_partner_inbound&utm_medium=rss_tag_regulation&utm_source=rss_feed

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Monetary Authority of Singapore has revoked the crypto payment license of Bsquared Technology after discovering multiple regulatory breaches during an inspection. The decision strips the firm of its ability to provide digital payment token services under Singapore’s Payment Services Act.

MAS said the inspection uncovered significant weaknesses in Bsquared’s risk management controls, conflict-of-interest policies, and compliance with outsourcing guidelines. The regulator also accused the company of repeatedly providing false or misleading information, both during its original license application process and throughout the subsequent inspection.

Bsquared, also known as BSQ, had only received its Major Payment Institution licence about 16 months earlier, making the revocation relatively unusual in Singapore’s tightly regulated crypto sector. MAS stated that it takes the breaches seriously and is reviewing the responsibilities of the company’s key officers.

The regulator has ordered Bsquared to submit a closure certificate from its auditors confirming that all customer funds have been properly returned. According to the company, it currently holds no outstanding customer assets.

Singapore has issued only 37 digital payment token licences so far, and license revocations remain rare. The case highlights MAS’ strict approach toward crypto regulation and compliance enforcement, despite the country’s reputation as one of Asia’s leading digital asset hubs.

At the same time, Singapore continues expanding its broader digital finance ecosystem. Major crypto firms including Coinbase, Ripple, and Crypto.com maintain significant operations in the country. Singapore has also been advancing blockchain-based financial services, including stablecoin settlement systems and tokenized asset initiatives linking traditional finance with digital assets.