Moomoo Secures MPI License, Introduces Crypto Trading in Singapore
Moomoo has obtained a Major Payment Institution license (MPI) from the Monetary Authority of Singapore (MAS).
The approval makes Moomoo the first digital brokerage in Singapore to obtain a license for digital payment token services, operating as a regulated crypto business.
In December, Moomoo received in-principle approval (IPA) for the license after applying for it in May 2021.
Gavin Chia, chief executive of Moomoo Singapore said at the time, "Over the years, we have seen an increase in volume of queries from our clients with regard to the trading of digital payment tokens on our platform."
In an email to users, Moomoo announced, "With Moomoo app, you can now trade crypto alongside with global stocks, funds and more, all in one place."
Users can continue to deposit and withdraw in SGD or USD from their local bank accounts with zero fees. Additionally, the first 5,000 clients of Moomoo Crypto will enjoy 0% commission until 30 September 2024.
Founded in 2018 as a subsidiary of Nasdaq-listed Futu Holdings, the platform made its debut in the city-state in 2021, offering low-cost stock trading on its mobile app. Earlier this month, Futu also upgraded its Type 1 license in Hong Kong to include virtual asset dealing services. This upgrade will enable Futu Securities to provide virtual asset dealing services to both retail and professional investors in Hong Kong.
However, at the time of writing, crypto trading still seems to be unavailable on the Moomoo mobile app and the "start now" function on Moomoo's website appears to be broken.
Slew of licenses
This year has seen a slew of crypto companies obtaining licenses in Singapore. Just last week, crypto custodian Hex Trust an IPA for an MPI from MAS. Alessio Quaglini, the CEO and co-founder of Hex Trust, said that the space is becoming less accommodating for crypto entities operating without a license.
"Companies, at a certain point, very soon, will really need to make a choice. Do I want to be on the white part of the spectrum, in the right, obtain all the licenses, and operate a completely regulated business? Or do I want to be on the other side of the spectrum, outside of regulation?" he questioned.
Both StraitsX and XTransfer also secured licenses from MAS that will significantly enhance their digital payment offerings earlier this month.
StraitsX, a prominent player in the digital asset space, received a full suite of Major Payment Institution (MPI) licenses. XTransfer, on the other hand, received an IPA for an MPI license, the company said on Tuesday.
Earlier this year, OKX also received an IPA for an MPI licence in Singapore. The development underscores the growing importance of regulatory compliance in the cryptocurrency industry and OKX's dedication to adhering to regulatory frameworks in various jurisdictions.
HashKey OTC was also granted an IPA for an MPI licence by MAS in March. The company said it will focus on providing regulatory-compliant digital asset trading services to accredited and institutional investors.
The firm offers services to institutional and accredited investors, including spot trading, on/off ramp services, fast settlement, and communication services.