The Monetary Authority of Singapore (MAS) has ordered automated teller machines (ATMs) for cryptocurrencies to go offline after it issued new guidelines for the marketing and advertising of cryptocurrency services on Jan. 17. Such ATMs enable users to trade digital tokens such as Bitcoin and Ethereum with fiat currencies and provide a convenient trading platform. However, authorities sought to limit easy access to encryption because it could “mislead the public on a whim,” MAS said. Daenerys, the largest operator operating five crypto ATMs across the city, said it was “surprised”…
The Monetary Authority of Singapore (MAS) has ordered automated teller machines (ATMs) for cryptocurrencies to go offline after it issued new guidelines for the marketing and advertising of cryptocurrency services on Jan. 17.
Such ATMs enable users to trade digital tokens such as Bitcoin and Ethereum with fiat currencies and provide a convenient trading platform.
However, authorities sought to limit easy access to encryption because it could “mislead the public on a whim,” MAS said.
Daenerys & Co, the largest operator that operates five crypto ATMs across the city, said it was “surprised” by MAS’s guidelines, but stopped its ATM services the next day. Rival Deodi also shut down its ATM network and quickly dispatched staff to remove its ATMs from malls across Singapore.
Crypto trading ‘not for the masses’
MAS said it had “always warned the public that trading in digital payment tokens … is high risk and not suitable for the public,” reiterating that the public should not be encouraged to engage in cryptocurrency trading.
Singapore’s crackdown runs parallel to similar new ad restrictions imposed in Spain and the UK. Spain also on Jan. 17 made it mandatory for crypto companies to submit ad campaigns 10 days in advance for regulatory approval, while the United Kingdom launched a review of cryptocurrency advertising practices, promising to crack down on “products with misleading claims.”
The prices of cryptocurrencies (with the exception of stablecoins) are notoriously volatile. Bitcoin as the flagship crypto token has plummeted from a peak of around $67,000 per coin in November last year to just over $42,000 on January 19, while other block coins such as Cardano, Solana and Polkadot have also peaked in the second half of the year. There will be a decline in 2021.
