The Monetary Authority of Singapore (MAS) has released a report to set a framework for “responsible” cryptocurrencies.
MAS continues to work on publishing a framework for tokenization and enterprise-level DeFi protocols. However, MAS and BIS are collaborating.
Monetary Authority of Singapore (MAS) and BIS Collaborate for Crypto Products
The Monetary Authority of Singapore (MAS) sets the framework for a “responsible” digital asset ecosystem. MAS and Bank for International Settlements (BIS) plan to collaborate to release a regulation for tokenization and enterprise-grade DeFi protocols.
A report by MAS focuses on how DeFi applications convert real-world assets into digital tokens. This report supports open and collaborative private networks that enable tokenized asset trading using decentralized finance protocols.
This study, conducted in conjunction with the BIS, aims to identify best practices for exchanging asset classes such as stocks, fixed income securities, foreign exchange and mutual funds through decentralized finance protocols.
“A common framework has been introduced to understand design options for enabling the trading of digital assets across networks and liquidity pools,” the report said. This framework aims to provide guidance for institutions and market participants interested in tokenization and DeFi protocols. Singapore MAS’s initiative is an important step towards creating and regulating a responsible digital asset ecosystem.
