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Two U.S.-based fintechs focused on blockchain payments technology have expanded their footprint into Singapore, giving both companies a jumping-off point for expanding their respective businesses in Asia.
Circle Internet Financial LLC, a Boston-based company specializing in commercial blockchain and crypto applications, has received provisional approval from the Monetary Authority of Singapore for a license designating it as a major payment institution. The license will enable Circle to offer digital-payment token products, as well as cross-border and domestic transfer services, in Singapore, which the company has designated as a principal hub for expanding its business in Asia.
In addition to providing blockchain applications, Circle is an issuer of USD Coin, a digital stablecoin pegged to the United States dollar. As of August, the company reportedly had $55 billion in USD Coin in circulation. Circle is also an issuer of Euro Coin, a cryptocurrency issued under the same full-reserve model as USD Coin.
“This milestone enables us to work with all relevant stakeholders and demonstrate the potential of digital currencies, open payment systems, and innovation-forward fintech regulations to drive economic growth and strengthen Singapore’s position as a global hub for digital assets,” Dante Disparte, Circle’s chief strategy officer and global head of public policy, says in a prepared statement.
In related news, Paxos Trust Co., a New York City-based provider of blockchain-based solutions for payments, money movement, and settlement, has also received a license from the Monetary Authority of Singapore to offer digital-payment token services. The deal enables Paxos to offer its digital asset and blockchain products and services to companies in Singapore. The license will also help Paxos to support its current partners in expanding their services into Asia.
Paxos’s product offerings include a cryptocurrency brokerage service, asset-tokenization services, and settlement services. The company has issued $21 billion in stablecoins, according to its Web site.
“We believe blockchain and digital assets will revolutionize finance for everyone around the world, but development of this technology must have clear oversight and consumer protections,” Paxos chief executive and co-founder Rich Teo says is prepaid statement. “We’re excited to have MAS as our regulator. Paxos will safely accelerate consumer adoption of digital assets globally in partnership with the world’s biggest enterprises.”
