Singapore Crypto License: MAS DPT License Under the Payment Services Act

A Singapore crypto license is the authorisation a digital-asset business needs from the Monetary Authority of Singapore (MAS) to provide digital payment token (DPT) services. Under the Payment Services Act 2019, a DPT service is held as a Standard or Major Payment Institution licence, not as a standalone class.

Singapore sits among the most credible crypto hubs in Asia, but it is also one of the most selective. There is no single "crypto licence" stamped by MAS. Instead, two distinct legal regimes govern crypto activity in and from Singapore, and conflating them is the most common and costly mistake founders make. This guide separates them cleanly: the domestic-facing DPT service under the Payment Services Act 2019 (PSA), and the offshore-facing Digital Token Service Provider (DTSP) regime under the Financial Services and Markets Act 2022 (FSMA), which has applied since 30 June 2025.

You will find the licence classes (SPI vs MPI), the confirmed capital and security-deposit figures, the new custody, retail and advertising rules introduced across 2024 and 2025, the AML/CFT obligations, and an honest read on how selective MAS really is. Where a figure could not be confirmed against a live MAS source, it is flagged rather than guessed.

By Magnus Müller · Reviewed by Magnus Müller · Last updated: 2026-06-14

What is a Singapore crypto license? MAS, the PSA and the FSMA in 60 seconds

A Singapore crypto license, in practice, is a MAS authorisation to carry on a regulated DPT service. MAS administers two crypto regimes: the Payment Services Act 2019 for DPT services provided in Singapore, and the Financial Services and Markets Act 2022 (passed 5 April 2022) for Singapore-incorporated firms serving only offshore customers. Picking the wrong regime delays everything.

MAS is both Singapore's central bank and its integrated financial regulator. It administers the PSA, under which the DPT service is one of several regulated payment services, and the FSMA, whose Part 9 captures Digital Token Service Providers. The two laws answer different questions: the PSA asks whether you serve customers in Singapore; the FSMA asks whether you are incorporated in Singapore but serve only customers abroad. The disambiguation below is not academic. It determines which application you file, how much you pay, and whether MAS is likely to say yes at all.

Who needs a DPT (digital payment token) licence in Singapore?

Anyone carrying on a business of providing DPT services in Singapore must be licensed under the Payment Services Act 2019, either as a Standard Payment Institution (SPI) or a Major Payment Institution (MPI), or qualify as an exempt person. The DPT service broadly covers dealing in digital payment tokens and facilitating their exchange, which captures crypto exchanges, brokers and OTC desks operating in Singapore.

The scope of the DPT service was expanded in 2024 to bring in activities such as custody and cross-border transfer of DPTs. If your business touches Singapore customers in any of these ways, you are inside the PSA perimeter and need a licence or an exemption.

PSA vs FSMA: domestic DPT service vs offshore DTSP (do not conflate)

The PSA and the FSMA are separate statutes with separate licences. The PSA 2019 governs DPT services provided in Singapore and is the regime almost every genuine Singapore crypto business uses. The FSMA 2022, by contrast, governs Singapore-incorporated firms that provide digital token services solely to customers outside Singapore.

This distinction matters because the FSMA DTSP regime is deliberately narrow and hard to enter. A firm that serves Singapore customers does not file for a DTSP licence; it applies under the PSA. A firm based in Singapore but serving only foreign customers cannot rely on the PSA; it falls under the FSMA Part 9 DTSP regime. Treating the two as interchangeable, or assuming the DTSP route is an easy "offshore" shortcut, is the error that derails applications.

Which regime applies to your crypto business?

The fastest way to scope your Singapore licensing path is to ask one question: where are your customers? If you serve customers in Singapore, you are on the PSA path and will hold a DPT service licence as an SPI or MPI. If you are incorporated in Singapore but serve only customers abroad, you are on the FSMA DTSP path, which MAS publicly discourages. Most genuine Singapore-based crypto businesses license under the PSA.

Serving customers in Singapore: PSA DPT service (SPI or MPI)

If any part of your customer base is in Singapore, the PSA applies and you license your DPT service as either a Standard Payment Institution or a Major Payment Institution. Which class you hold depends on your projected transaction volume, not on the type of crypto activity. The thresholds, base capital and security-deposit figures for each class are set out in the SPI versus MPI section below. This is the conventional, expected route for exchanges, brokers and custody providers with a Singapore footprint.

Serving only customers outside Singapore: FSMA DTSP (the hard route)

If your firm is incorporated in Singapore but provides digital token services solely to customers outside the country, you fall under the FSMA DTSP regime that commenced 30 June 2025. Be realistic about your odds. MAS has stated it "has set the bar high for licensing and will generally not issue a licence" to such offshore-only firms, citing money-laundering and reputational risk. The DTSP regime, covered in detail further down, should be treated as a route of last resort, not a planning default.

SPI vs MPI: thresholds, base capital and security deposit

Under the Payment Services Act, a DPT service provider is licensed as a payment institution, and the licence class turns on transaction volume. A Standard Payment Institution stays at or below the SPI thresholds; a Major Payment Institution exceeds them. The table below sets out the confirmed thresholds, capital and deposit figures, with each figure tied to its MAS source. Two SPI-tier figures carry a VERIFY flag and must be confirmed against the live MAS page before publication.

The thresholds that separate the two classes are confirmed: up to S$3 million per month for a single payment service, up to S$6 million per month for two or more services, and up to S$5 million daily outstanding e-money. Cross those and you must hold an MPI licence rather than an SPI.

Standard Payment Institution (SPI) thresholds

An SPI is the lighter-touch class for lower-volume operators. It applies where your projected transaction volume stays at or below all three SPI thresholds: S$3 million per month for a single payment service, S$6 million per month across two or more services, and S$5 million daily outstanding e-money.

Two SPI-tier specifics remain unconfirmed in our research and should not be stated as fact until verified against a live MAS source. The first is the SPI base-capital figure, commonly cited at S$100,000 but not confirmed here [Known-unknown 1]. The second is whether an SPI must place a security deposit at all; only the MPI deposit was confirmed [Known-unknown 2]. Both are flagged in the open-questions section.

Major Payment Institution (MPI) capital and deposit

An MPI is the class for higher-volume DPT businesses and carries firmer capital and deposit requirements. The base capital is S$250,000. On top of that, an MPI must place a security deposit of S$100,000 where total monthly transactions are S$6 million or less per payment service, rising to S$200,000 where they exceed S$6 million.

These are the figures most relevant to a credible exchange or custody operator, since their volumes typically push them into MPI territory from the outset. Both figures were drawn from MAS snippets while mas.gov.sg was in maintenance and must be re-verified against the live page before they appear in published copy.

There is no separate "DPTSP" licence class

A persistent misconception, repeated on many older guides, is that Singapore has a standalone "DPTSP" licence sitting alongside SPI and MPI. It does not. The DPT service is a regulated payment service, and a provider is licensed as either an SPI or an MPI under the PSA. There is no third class.

Getting this right matters beyond pedantry. Applicants who frame their submission around a non-existent "DPTSP licence" signal that they have misread the regime, which is exactly the impression you do not want to give a selective regulator. Apply for the SPI or MPI class that matches your projected volume, and describe the DPT service as one of the regulated payment services you intend to provide.


The FSMA DTSP regime from 30 June 2025 (offshore-only firms)

The single biggest recent development in Singapore crypto regulation is the FSMA Digital Token Service Provider regime. The FSMA 2022 was passed by Parliament on 5 April 2022 and implemented in phases. Its Part 9 DTSP regime commenced on 30 June 2025, closing a gap for firms based in Singapore that had been serving only foreign customers without a clear domestic licensing hook.

Who the DTSP regime captures

The DTSP regime captures Singapore-incorporated entities that provide digital token services solely to customers outside Singapore, covering both digital payment tokens and tokens of capital-market products. From 30 June 2025, such a firm must be licensed as a DTSP under Part 9 of the FSMA. The trigger is the combination of Singapore incorporation plus an exclusively offshore customer base. If you also serve Singapore customers, you are on the PSA path instead, not the DTSP path.

Why MAS "will generally not issue" a DTSP licence

MAS has been unusually explicit about the DTSP regime. It states that it has "set the bar high for licensing and will generally not issue a licence" to firms based in Singapore that serve only foreign customers, citing money-laundering and reputational risk. The licence carries an annual fee of S$10,000 regardless of how many digital token services are provided, and the application is filed using Form 1, the Application for a DTSP Licence.

In plain terms, MAS designed this regime to discourage "Singapore-flag, offshore-only" structures rather than to welcome them. Founders who assume Singapore offers an easy offshore wrapper should plan elsewhere. The FSMA DTSP minimum financial requirement was not confirmed in our research, so no DTSP capital floor is stated here [Known-unknown 4].

Custody, retail conduct and advertising rules for DPT providers

Across 2024 and 2025, MAS layered a user-protection package on top of the licensing regime. The chronology below shows how the rules stacked up, and the subsections that follow explain each obligation. These are conduct rules every DPT service provider must build into its operating model from day one, not afterthoughts.


Statutory-trust custody and asset segregation

DPT service providers must hold customer assets under a statutory trust, segregating customers' assets from the provider's own and keeping them for the benefit of customers, with proper books, records, systems and controls. The asset-safeguarding regulations took effect six months from 4 April 2024, around 4 October 2024. In practice this means clean segregation, regular reconciliation, and the ability to restore segregation if it ever breaks, all evidenced in your records.

Ban on retail lending and staking of DPTs

MAS restricts DPT service providers from facilitating lending and staking of DPTs by their retail customers. The restriction sits within the Guidelines on Consumer Protection Measures by DPT Service Providers (PS-G03), revised 19 September 2024 and effective 4 October 2024. If your revenue model leans on retail yield products, Singapore is not the jurisdiction for it. Design retail-facing offerings around custody and exchange, not lending or staking.

No public promotion of DPT services in Singapore

MAS expects DPT providers not to promote their DPT services to the general public in Singapore, a position set out in the Guidelines on Provision of DPT Services to the Public (PS-G02). That rules out advertising in public areas, broadcast media and mass-market campaigns aimed at Singapore consumers. Marketing plans built around retail acquisition funnels need to be rethought before they reach MAS, because aggressive consumer promotion signals a poor fit with the regime.


AML/CFT and governance requirements

Anti-money-laundering compliance is the dominant theme of Singapore crypto supervision, and MAS treats it as the centre of gravity for any DPT service provider. Alongside AML/CFT obligations, applicants must satisfy entity and fit-and-proper standards. Both are assessed at licensing and supervised continuously thereafter.

MAS Notice PSN02 AML/CFT obligations

DPT service providers are subject to MAS AML/CFT obligations, principally under MAS Notice PSN02 (AML/CFT, Digital Payment Token Service) and its Guidelines, revised through 2024 and 2025. MAS has separately published guidance on strengthening AML/CFT controls of DPT service providers. The expected controls span customer due diligence, ongoing transaction monitoring, suspicious transaction reporting, enterprise risk assessment, and the appointment of a compliance or AML officer. These are the same building blocks of AML and KYC obligations found across every serious crypto jurisdiction.

Entity and fit-and-proper requirements

The applicant must be a Singapore-incorporated entity, typically a private limited company (Pte Ltd). Beyond that, exact governance specifics, including any resident-director count, the permanent-place-of-business requirement and the precise fit-and-proper standards, were not pulled from a live MAS source in our research and are not stated as fixed numbers here [Known-unknown 3]. What is clear is that MAS scrutinises the substance, competence and integrity of the firm and its key persons, so governance cannot be a paper exercise.

How to apply for a Singapore crypto licence: process and timeline

The application path depends on which regime applies. The PSA route is the conventional one for firms with Singapore customers; the FSMA DTSP route is the narrow offshore-only path MAS discourages. Below are both flows and an honest answer on timing.

PSA (DPT service) application steps

The general PSA application flow, to be confirmed against the MAS Guidelines on Licensing for Payment Service Providers (PS-G01), updated 8 October 2025, runs as follows:

1. Determine your licence class (SPI vs MPI) from projected transaction volume.
2. Incorporate or confirm the Singapore entity and its governance.
3. Build the AML/CFT, risk-management and asset-safeguarding (statutory-trust) frameworks.
4. Prepare the business plan, fit-and-proper declarations and supporting documents.
5. Submit the application to MAS with the applicable fees.
6. Respond to MAS review and clarification queries.
7. Receive a grant or refusal; licensees are published on the MAS register.

Most applicants underestimate steps 2 and 3. The custody and AML frameworks are exactly where a selective regulator probes hardest, and many DPT applicants are also building toward broader exchange licensing essentials, so the operational lift is significant.

DTSP (FSMA) application steps

The offshore-only DTSP path is short on paper and hard in practice. You file Form 1, the Application for a DTSP Licence, and the licence is subject to the S$10,000 annual fee. The decisive factor is not the form but the policy stance: MAS will generally not grant these licences. Treat a DTSP application as an uphill case requiring an exceptionally strong AML and substance story.

How long does MAS licensing take?

There is no honest fixed answer. MAS publishes no binding processing SLA, so any guaranteed timeline is a marketing claim, not a regulatory one. Older guides quote "4 to 8 weeks of preparation and 3 to 6 months of MAS review," but those figures are unsourced practitioner estimates rather than MAS-published numbers [Known-unknown 5]. Realistically, timing depends on the completeness and complexity of your application and on how many clarification rounds MAS runs. Strong, complete submissions move faster; thin ones stall or are refused.

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Singapore vs Hong Kong, Switzerland and the UK: how the regimes compare

Singapore is one option among several credible hubs, and the right choice depends on your customer base, product and appetite for substance requirements. Each peer regime takes a different shape, and you can dig into them through our jurisdiction guides without us duplicating that detail here.

Hong Kong's SFC VATP regime is the nearest Asian comparator and runs a mandatory licensing model for virtual-asset trading platforms with strong investor-protection rules. Switzerland's FINMA route, anchored in SRO membership and FINMA oversight, offers Crypto-Valley credibility and a mature legal framework. UK FCA registration centres on AML registration for cryptoasset firms and is also known for its rigour. To weigh these side by side, compare crypto licence jurisdictions in our pillar guide.

When Singapore is the right choice (and when it is not)

Singapore suits well-capitalised operators with genuine substance, a Singapore or regional customer base, and a business model that does not rely on retail lending, staking or mass consumer advertising. It is a strong fit for institutional-leaning exchanges, brokers and custody providers willing to meet MAS's standards. It is a poor fit for firms seeking a quick offshore wrapper, retail-yield businesses, or anyone hoping for light-touch approval. If the offshore-only DTSP route is your only path, look hard at the peer jurisdictions above first.

From our practice: licensing crypto businesses in Singapore

In our advisory work from Zug, the pattern in Singapore matters is consistent: applications succeed on substance, not speed. The firms that clear MAS scrutiny are the ones that treat custody, AML and governance as the core of the submission rather than as documents bolted on at the end. The ones that struggle arrive with a thin compliance story, an offshore-only structure, or a misread of which regime applies.

As Crypto Valley Partners AG, we approach Singapore the way MAS expects applicants to: regime selection first, then the statutory-trust custody and AML/CFT frameworks, then the business plan and fit-and-proper file, with every figure verified against the live MAS source rather than recycled from outdated guides. We do not publish approval-rate promises, because no responsible adviser can guarantee a selective regulator's decision. What we can do is make the case as strong as the facts allow.