The Monetary Authority of Singapore (MAS) announced that it will not allow the listing of spot Bitcoin ETFs for retail investors in the country.
In a statement, the MAS said that under Singapore’s regulations, cryptocurrencies like Bitcoin are not considered eligible assets for retail ETFs. The financial authority cited concerns over the high volatility and speculative nature of cryptocurrencies.
“Cryptocurrency trading is highly volatile and speculative in nature and is not suitable for retail investors,” the MAS statement read.
However, the regulator noted that retail investors can still invest in overseas-listed spot Bitcoin ETFs through licensed capital market intermediaries in Singapore. These intermediaries are required to provide adequate risk disclosures to clients and assess suitability before allowing cryptocurrency investments.
The decision contrasts with the U.S., which last week approved several spot Bitcoin ETFs from major issuers like BlackRock and Fidelity. These new ETFs saw massive trading volumes exceeding $10 billion over their first three days of trading.
The MAS urged retail investors interested in overseas crypto ETFs to exercise caution, stating that cryptocurrencies remain a speculative asset class.