Ripple gains Regulators approval In Singapore

Ripple, a company that uses blockchain technology for payments, has gotten initial approval from Singapore's financial regulator. This allows Ripple to offer digital asset payments and token products in Singapore. This permission will also let Ripple's branch, Ripple Markets Asia Pacific, grow its On-Demand Liquidity (ODL). ODL lets Ripple's users send XRP around the world without the need for banks.

Ripple applied for the license under Singapore's Payment Service Act. Ripple's CEO, Brad Garlinghouse, thanked the Singaporean regulator for its positive attitude towards cryptocurrency services. He said that Singapore will be a major access point for Ripple's business in the Asia Pacific area.

Ripple's chief legal officer, Stu Alderoty, said that Singapore's early moves in this area are helping other regulators to develop clear rules and licenses. The approval means Ripple can support more customers.

Last year, Ripple doubled its staff in its Asia Pacific headquarters. The main part of ODL transactions happened through Singapore. The MAS, Singapore's financial regulator, released a white paper on June 21 that suggests standards for fintech companies offering digital money services in Singapore.

Ripple's journey to getting approval in Singapore was smooth. But it has faced legal challenges elsewhere. Since December 2020, the U.S. Securities Exchange Commission (SEC) has been suing Ripple. The SEC claims that Ripple offered XRP, the token that powers XRP Ledger, as an unregistered security. A decision is expected in the coming months.

On June 15, Ripple partnered with Colombia's central bank, Banco de la República, to test a central bank digital currency on its XRP Ledger. Ripple has also teamed up with central banks in Montenegro and Thailand, and many other banks and financial institutions around the world.