Singapore to Roll Out Stablecoin Regulations, Expand CBDC Trials

Singapore’s fiscal regulator is preparing to present caller rules for stablecoins and grow cardinal slope integer currency (CBDC) trials arsenic portion of a broader effort to physique retired its model for integer assets.

The Monetary Authority of Singapore’s (MAS) managing director, Chia Der Jiun, said Thursday that stablecoins could play a cardinal relation successful aboriginal fiscal networks if they are decently supervised.

“Unregulated stablecoins person a patchy grounds of keeping their peg,” Chia told the Singapore FinTech Festival 2025. “Recurrent de-pegging tin erode confidence, and trigger runs connected different stablecoins.”

“Regulated stablecoins, portion nascent, connection the imaginable of worth stability. Sound and robust regularisation of stablecoins volition beryllium captious to underpin their stability,” helium added. “We person seen nationalist regulations taking signifier rapidly. This is an important start. But things tin instrumentality a incorrect crook if determination is simply a proliferation of poorly regulated stablecoins, undermining assurance successful others.”

Chia said MAS had finalized the features of its stablecoin regulatory authorities and would soon hole draught legislation. “Under our regime, we person fixed value to dependable reserve backing and redemption reliability,” helium said.

Next Wave of Stablecoin Boom May Seem Invisible, Says Transak CEO

Singapore’s attack to regulating integer concern has balanced betwixt choky standards with industry-led pilots. The caller stablecoin rules physique connected years of sandbox experimentation and projects similar Project Guardian, which has tested tokenised overseas exchange, fixed income, and money transactions since 2022.

Singapore started looking astatine asset-backed tokens with the motorboat of Project Guardian successful 2022. It collaborated with manufacture partners to trial usage cases successful FX, funds, fixed income, and showed that tokenization worked and delivered benefits. 24/7 adjacent instant settlement; programmability enabling PvP and DvP; nary colony lags, less intermediaries, little pre-funding.

That enactment has already delivered tangible results. Tokenised bonds and wealth marketplace funds are being traded on-chain, and banks are offering tokenised currency absorption services. But, Chia noted, asset-backed tokens person yet to execute “escape velocity.” To scope that point, helium said, determination needs to beryllium standardised token formats, interoperable networks and a heavy excavation of harmless colony assets.

MAS volition besides people a usher connected the tokenization of superior markets products, offering lawsuit studies and disclosure guidance to clarify however tokenised securities acceptable nether existing rules. It is moving with planetary partners, including UK regulators, to harmonise standards for asset-backed tokens.