Singapore Considers Crypto Derivatives Trading On Approved Exchanges

Singapore’s central bank, the Monetary Authority of Singapore (MAS), has proposed bringing crypto derivatives trading under its scrutiny.

On Nov. 20, a BNN Bloomberg report stated that the MAS’ proposal would make trading of derivatives on underlying assets like Bitcoin (BTC) and Ether (ETH) subject to the city-state’s Securities and Futures Act.

According to the MAS, it plans to extend its remit to crypto derivatives that have been urged by interest from hedge funds and asset managers engaged in the sector.

Bitcoin derivatives trading globally currently sees $5–10 billion in daily traded volume, while exceeding spot volume by 10 to 18 times, the report notes.

MAS has said its proposal will “allow approved exchanges in Singapore to meet the need of investors to manage their exposure to payment tokens while bringing the activity under regulatory oversight.”

Rise In Crypto Derivatives

In recent news, the Intercontinental Exchange’s (ICE) Bakkt platform is planning to expand its existing Bitcoin futures products to include a cash-settled option. Sources claim that the new contract will be offered via ICE’s Singapore-based clearinghouse, ICE Clear Singapore, and traded on the ICE Futures Singapore exchange. 

CoinGecko announced that it is launching its own cryptocurrency derivatives section. The derivatives section will offer additional statistics so users can track more than 100 derivatives products that are offered by over 20 derivatives exchanges.

Source: BNN Bloomberg | Cointelegraph

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