Carol began investing in cryptocurrencies during the outbreak. The man wanted to retire in the next few years.
The Monetary Authority of Singapore endorsed it. I lost over $50,000. I want to get some of it back.
The central bank of Singapore granted in-principle approval to a number of firms to provide digital payment service. When the lender was forced to stop withdrawals, the licence approval was revoked.
There is a misunderstanding among regulators. They want to attract businesses to their jurisdiction, but they need to regulate in a way that consumers are safe, according to Michael Gronager, CEO and co- founder of Chainalysis.
Regulators need to decide whether to give the company a licence to operate in the country or restrict trading access to retail investors because consumers are so global these days.
FTX didn't have a license to operate in Singapore. It is not possible to prevent local users from using overseas service providers according to MAS.
It's no surprise that we will see fraud in the industry. Mr Gronager says that they see it in all sorts of industries.
Before the FTX saga, Singapore warned that the technology can be volatile. A number of outlets in the island nation are being investigated for possible violations of the ban.
After it was put on an investor alert list for soliciting customers without a licence, and offering Singapore dollar trades, it left Singapore.
Brian Armstrong, co-founder and CEO of US-based Coinbase, is one of the industry players who has criticized the new rules.
He said "Singapore wants to be a hub for Web3 (a vision of the next iteration of the internet that uses Blockchains and Cryptocurrencies), and then simultaneously says: 'Oh, we're not really going to allow retail trading or self-hosted wallet to be available.'
He said that the two things are not compatible.
The government of Singapore wants to become a virtual-asset hub with a focus on business and administrative aspects of the technology.
It has promised to contain risks, by proposing knowledge tests for retail investors before being allowed to trade, and has acknowledged that this could mean retail-focused companies may move to other jurisdiction.
Fraud, unsustainable business models, or excessive risk taking can cause the collapse of a currency platform. FTX isn't the first platform to collapse and won't be the last.
Those who trade in cryptocurrencies need to be prepared to lose all their money. There is no amount of regulation that can eliminate this risk.
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