National measures to protect retail crypto traders must be paired with global regulatory coordination

THE measures newly proposed by the Monetary Authority of Singapore (MAS) to protect retail cryptocurrency traders offer regulatory clarity in a nascent but risky space. Enforcement measures remain elusive, however, particularly because the crypto industry is one characterised by anonymity.

Like many other financial regulators, the MAS has deemed an outright ban on crypto trading unpractical due to the borderless nature of the crypto world.

But even with the current set of proposals, excessive regulation could fuel a “crypto black market” that leaves investors and industry players worse off.