In brief
On 1 September 2026, the Monetary Authority of Singapore (MAS) published a Consultation Paper on Proposed Amendments to the Payment Services Act 2019 for Stablecoins Regulation (“Consultation Paper”). The Consultation Paper may be viewed here.
The Consultation Paper proposes various amendments to the Payment Services Act 2019 (“PSA”), to introduce a framework governing stablecoins in Singapore to help consumers and businesses differentiate between stablecoins where the issuers are regulated by MAS for value stability, and stablecoins that are not. Such proposed amendments include:
- A framework "MAS-regulated stablecoin framework") for the issuance of stablecoins regulated by the MAS ("MAS-regulated stablecoins"), in particular for stablecoins that are jointly issued by a Singapore and foreign issuer(s)
- A framework governing stablecoins designated by MAS as systemic ("Designated Systemic Stablecoins")
- An avenue for stablecoins issued outside Singapore by foreign issuers to be recognised by the MAS ("MAS-recognised stablecoins")
Stablecoins which are not MAS-regulated stablecoins ("non-MAS-regulated stablecoins") will continue to be treated as digital payment tokens (DPTs) under the PSA. Entities in Singapore issuing non-MAS-regulated stablecoins will continue to require a licence under the PSA for providing DPT services in Singapore.
The Consultation Paper also covers (a) additional retail customer safeguards for non-MAS-regulated stablecoins that MAS is considering, and (b) clarifications for banks, merchant banks and wholesale banks that intend to issue stablecoins.
If you have any feedback or comments for the MAS on the proposals in the Consultation Paper, please reach out to MAS via this link.
The consultation will close on 16 October 2026. If you have any questions on how this may impact your business or operations, please feel free to reach out to us.
* * * * *
© 2026 Baker & McKenzie. Wong & Leow. All rights reserved. Baker & McKenzie. Wong & Leow is incorporated with limited liability and is a member firm of Baker & McKenzie International, a global law firm with member law firms around the world. In accordance with the common terminology used in professional service organizations, reference to a "principal" means a person who is a partner, or equivalent, in such a law firm. Similarly, reference to an "office" means an office of any such law firm. This may qualify as "Attorney Advertising" requiring notice in some jurisdictions. Prior results do not guarantee a similar outcome.