Ravi Menon, managing director of the Monetary Authority of Singapore (MAS), says troubled crypto firms like Three Arrows Capital, that are being reported by the media as being based in Singapore, are not fully regulated in the country.
Menon took aim at crypto venture capital fund Three Arrows Capital, along with Singapore-registered TerraForm Labs and Vauld during a press briefing for the presentation of the bank’s annual report.
“In reality, these so-called “Singapore-based” crypto firms have little to do with crypto-related regulation in Singapore,” Menon said.
As crypto markets shed around $2 trillion in a matter of weeks during the recent market downturn, Singapore, a jurisdiction that took a leading role in setting up a regulatory framework for crypto companies, hardened its position on digital assets.
The MAS, the country’s central bank, is continuing to distance itself from embattled crypto firms with ties to the Southeast Asian nation. In June, the MAS reprimanded Singapore-born Three Arrows Capital, which is currently facing liquidation, for allegedly misleading regulators with false information and exceeding the threshold of assets it could manage in Singapore.
Menon said the fund was not regulated under the country’s Payment Services Act.
“It had operated under the registered fund management regime to carry out limited fund management business, but had ceased to manage funds in Singapore prior to the problems leading to its insolvency,” Menon said.
TerraForm Labs and the Luna Foundation, responsible for the collapsed stablecoin terraUSD, are not licensed or regulated by MAS, according to Menon. TerraForm Labs is a Singapore-registered company but its address is of a
