Appendix 8: Singapore

Highlights

• Singapore has also undertaken a number of actions under the last four years to position itself as a conducive jurisdiction for fintech and virtual currency-related businesses, including through the establishment of a FinTech Regulatory Sandbox. In January 2020, the Sandbox graduated an integrated digital securities issuance, custody, and trading platform.
• Singapore’s 2019 Payment Services Act expanded the Monetary Authority of Singapore (MAS)’s regulatory scope to include digital payment token services.
• As a result, all persons in Singapore (presumably including charities) are required to report suspicious virtual currency transactions with the Suspicious Transaction Reporting Office, Commercial Affairs Department of the Singapore Police Force pursuant to section 39 of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act.
• Because there are no capital gains taxes in Singapore, increases in the value of virtual currencies would not trigger deductible capital gains donations.

Virtual Currency-Specific Regulations

• Monetary Authority of Singapore (MAS), A Guide to Digital Token Offerings (Nov. 2018)
• Republic of Singapore, Payment Services Act (Jan. 2019)
  • MAS, Payment Services Act Information (April 2019)
  • MAS, Explanatory Brief on the Payment Services Bill (Nov. 2018)
• Monetary Authority of Singapore, Securities and Futures Act (Cap.289, Rev. Ed.) (2006)

Nonprofit Regulations

• Singapore Government, Charities Act (2007)
  • Singapore Government, Charities (Accounts and Annual Report) Regulations (2011)
  • Singapore Government, Charities (Institutions of a Public Character) Regulations (2008)
  • Singapore Government, Charities (Registration of Charities) Regulations (2008)
• Singapore Government, Charity Portal
  • Singapore Government, Legislations Governing Charities And IPCs, Other Requirements for Registration as a Charity or IPC (Jan. 2019)

Tax Regulations

• Inland Revenue Authority of Singapore, Income Tax Treatment of Virtual Currencies (Apr. 2019)
• Singapore Government, Income Tax Act (Chapter 134) (2014)
• Singapore Government, Goods and Services Tax Act (Chapter 117A) (2005)

Anti-Money Laundering Regulations

• Monetary Authority of Singapore Act (Cap. 186) §27B, Requirements for Prevention of Money Laundering and Terrorism Financing (Oct. 2019)
  • Monetary Authority of Singapore, Guidelines to Notice FAA-N06 on Prevention of Money Laundering and Countering the Financing of Terrorism (Nov. 2015)
  • Monetary Authority of Singapore, Notice FAA-N06 on Prevention of Money Laundering and Countering the Financing of Terrorism – Financial Advisers (Nov. 2015)
• Monetary Authority of Singapore, A Guide to Digital Token Offerings, “§3: Money Laundering and Terrorism Financing Concerns” (Nov. 2018)
• Monetary Authority of Singapore, “Payment Services Bill” – Second Reading Speech by Mr Ong Ye Kung, Minister For Education, On Behalf of Mr Tharman Shanmugaratnam, Deputy Prime Minister and Minister-In-Charge of The Monetary Authority of Singapore (Jan. 2019)

Other Relevant Regulations, Sources, Notes

• Global Legal Insights, Blockchain & Cryptocurrency Regulation (2019), “Singapore”
• Law Library of Congress, Regulatory Approaches to Cryptoassets in Selected Jurisdictions: Singapore (April 2019)
• Li Chuan Hsu et al., The Payment Services Act and How it Affects FinTech in Singapore (JDSupra) (Mar. 2019)
• Practical Law, Charitable Organisations in Singapore: Overview (Feb. 2019)