The Singapore unit of the London-headquartered retail-focused cryptocurrency platform Luno has secured in-principle approval (IPA) from the Monetary Authority of Singapore (MAS) to provide digital payment token services in the city-state.

Luno, which is also regulated by the Securities Commission of Malaysia and registered with the authorities in Indonesia, has acquired, since its establishment in 2013, over 10 million customers in 40 countries. With over one million customers added within the last six months, the platform says it aims to bring cryptocurrencies to over one billion customers by 2030.

Following Luno’s acquisition by the Digital Currency Group (DCG) in 2020, DCG further secured over US$700 million in a secondary funding round from investors, including Singapore’s wealth fund GIC, raising its valuation to US$10 billion.

Sherry Goh, global expansion manager and country manager for Singapore at Luno, says: “We believe regulation brings clarity and protection to businesses and consumers, and obtaining the IPA is just one of the first few steps in our long-term commitment to the progressive and sustainable development of Singapore as a global financial hub.”

Luno is just the latest crypto service provider to have obtained a licence or IPA from the financial regulator to provide digital payment token services in Singapore, and the city-state is increasingly developing into the favoured Asian crypto hub.

Last year, the brokerage arm of Singapore’s DBS Bank, DBS Vickers, received a licence from the MAS to provide digital payment token services as a major payment institution.

The MAS also awarded a similar licence to Australian crypto exchange Independent Reserve, which will provide digital payment token services in the city under the Payment Services Act of Singapore.