Singapore

The Payment Services Act 2019 (PS Act) is a detailed and risk-focused statutory scheme passed by the Parliament of Singapore and overseen by the Monetary Authority of Singapore (MAS) regarding the regulation of payment systems and digital payment service providers. Having come into force officially on 28 January 2020, the Act harmonizes Singapore's financial environment through the consolidation of existing laws into one module and controls seven types of payment operations, including both domestic and international money transfers, as well as Digital Payment Token (DPT) services. To preserve balance between market flexibility and financial stability, the Act defines three different licensing tiers for companies – Money-Changing, Standard Payment Institution, and Major Payment Institution – depending on transactional volumes and size of operations. Promoting innovation and interoperability in FinTech, the PS Act applies strict compliance requirements, focused on Anti-Money Laundering (AML), high-level cybersecurity standards, and mandatory customer protection measures aimed at the safekeeping of users' money. The scheme proves to be highly flexible, with the most recent significant amendment taking effect on 4 April 2024 to expand custody and broker regulations related to crypto, and ongoing 2026 legislative changes to legalize stablecoins.