Crypto ATMs in Singapore are shutting down amid the crypto ads crackdown as we reported previously in our cryptocurrency news.
Crypto ATMs in Singapore are shutting down after the Monetary Authority of Singapore announced a crackdown on crypto advertising. One of the biggest ATM operators Daenerys & Co. said:
“MAS’s new guidelines regarding ATMs were an unexpected surprise.”
Crypto ATMs make it quite easy for people to buy BTC or another crypto which concerns the regulator, as it noted:
“Providing in-person access to DPT [cryptocurrency] services in public areas through the use of automated teller machines (ATMs) is a form of promotion of DPT services to the public. Such convenient access may mislead the public to trade in DPTs on impulse, without considering the risks of trading in DPTs.”
ATM shutting down is just a part of the wider crypto crackdown that is taking place in Singapore. Earlier this week, the MAS told crypto companies to stop advertising their products to the public and said that the companies should not portray the trading of digital payment tokens in a way that trivializes high risks of trading and should also not promote their DPT services in public areas in the country or thorugh other media directed at the public in Singapore.
The halt includes ATMs but it also means that crypto companies that operate in Singapore are no longer able to engage with third parties to promote their services other than their own websites, apps, or social media accounts. This year’s hardline policy came after the confrontation between the MAS and the crypto exchange Binance after looking to place its headquarters there but the CEO Changpeng Zhao admitted that it was necessary to satisfy the regulators worldwide. The MAS also said that Binance is not licensed in Singapore while a month later, the regulator placed the exchange on the Investor Alert List. Binance withdrew its application for a license by the end of December.
As recently reported, The MAS insists on local crypto companies stop promoting their local services on their website and social media accounts. The city-state’s central bank as the Monetary Authority of Singapore issued guidelines that limit crypto trading service providers from promoting these assets. The financial institution believes dealing with crypto is highly risky and unsuitable for each investor. Australia’s top financial watchdog, the Australian Securities and Investments Commission also advised locals to refrain from investing their retirement funds into BTC and other alternative coins.