MAS Grants In-principle Approval for XREX Singapore's Major Payment Institution License

17 Nov, 2023

MAS Grants In-principle Approval for XREX Singapore's Major Payment Institution License

XREX, a blockchain-based financial institution specializing in cross-border payments within emerging markets, has announced the in-principle approval of its Singapore entity for a Major Payments Institution (MPI) License by the Monetary Authority of Singapore (MAS), the nation's central bank and financial regulator.

Under the Payments Services Act 2019, MAS regulates digital payment token service providers (DPTSPs), mandating an MPI license for DPTSPs to offer DPT services.

Since the establishment of this licensing framework in January 2020, numerous DPTSPs have submitted applications. The MAS has received over 580 payment services license applications, as reported by The Straits Times last year. To date, fewer than 20 DPT licenses and in-principle approvals have been granted. With this endorsement, XREX joins the ranks of approved exchanges, stablecoin issuers, and neobanks like Coinbase, DBS Vickers, Circle, Paxos, Ripple, and Revolut.

Christopher Chye, CEO of XREX Singapore, expressed the significance of MAS's approval after years of effort, emphasizing Singapore's aim to attract responsible players in the industry. He stated, "Singapore's meticulous approach benefits both the nation and our industry." Chye added, "XREX looks forward to introducing cost-effective, secure, and swift domestic and cross-border payments for Singapore and emerging market businesses."

The MPI license enables XREX Singapore to expand BitCheck, its crypto-friendly escrow payment tool, to support fiat, stablecoins, and cryptocurrencies.

XREX Singapore will function as the Asia Pacific headquarters for the group, fostering partnerships with major banks, credit card institutions, and payment entities in a key financial hub, bridging blockchain finance and traditional finance.

Wayne Huang, XREX co-founder and Group CEO, highlighted the uniqueness of XREX being granted approvals for virtual asset services by both Singaporean and Taiwanese regulators simultaneously, showcasing their commitment to regulatory compliance.

XREX Singapore's in-principle approval covers six payment services, including account issuance, domestic and cross-border money transfer, merchant acquisition, e-money issuance, and digital payment token services.

Nick Chang, XREX Group and XREX Singapore Head of Compliance, praised Singapore's regulatory framework for offering users clarity and confidence in accessing digital assets and stablecoins. Head of Legal at XREX Singapore, Jason Lai, expressed enthusiasm in leveraging the team's expertise in cross-border legal frameworks and reinforcing their dedication to regulatory compliance and user safety.