Singapore minister advises investors to stay away from cryptocurrencies

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The Deputy Prime Minister of Singapore warned retail investors against investing in cryptocurrencies, recalling that there are other digital assets besides them.

Heng Swee KeatKeat, speaking at the Asia Tech x Singapore (ATxSG) summit, recalled the collapse of the Terra cryptocurrency (LUNA) and the TerraUSD stablecoin (UST) and the fact that investors lost a lot of money. According to Swee Keith, cryptocurrencies are very risky and need proper regulation:

"We must continue to improve and adaptour rules to ensure that regulation promotes innovation while also addressing the underlying risks for investors associated with digital currencies. Despite the risks, this area has the potential to change the future of finance.”

The official recalled that the Monetary Authority of Singapore (MAS) has constantly warned the public to limit the movement of cryptocurrencies among the general public.

Beyond cryptocurrencies, the ecosystem of digital assetsincludes a range of less risky blockchain services, assured Sui Keith. Over the past two years, MAS has granted operating permits to 11 digital payment token service providers. These include cryptocurrency exchange Coinhako, stablecoin issuers such as Paxos, and traditional financial institutions such as DBS Vickers.

Singapore authorities continue to assess the situation in the crypto industry and conduct experiments in real time, promising to ensure the safe implementation of new technologies in the financial sector.

Formerly Asian technology company TZAPAC has announced a partnership with the National University of Singapore's School of Computing to provide students with the opportunity to study blockchain and Web3.