If you are one of the six million-plus Aussies who currently own some form of cryptocurrency, there is a good chance you will want to protect and grow your investment. One way many of your contemporaries are doing just that right now is by trading in Singapore.

You might not be aware of it, but this Southeast Asian country is actually a leading destination around the world for the secure buying and selling of digital assets. The reason for this is that it is very well-regulated.

That said, if you are new to the market, you might not know which platform to trust. With this in mind, we have created this post. In it, we’ll highlight how to choose a trusted crypto exchange in Singapore, and why ensuring it is regulated is very important.

Hopefully, you will find it a useful guide to entering this specific digital asset market.

What Is a Regulated Crypto Exchange in Singapore?

A regulated crypto exchange in Singapore is essentially a platform that operates under the guidelines set by the Monetary Authority of Singapore (MAS). This set of strict rules is designed to make sure the exchange handles your funds responsibly. They also protect your personal data and follow fair trading practices. 

When an exchange is MAS regulated, you can take it as read that it shows a commitment to strong compliance, operates legally and ensures customers can trade safely. It’s a clear sign that the platform is trustworthy and built to last in a highly competitive market.

Why Regulation Should Be Your First Priority

When choosing a crypto exchange, it’s easy to focus on low fees or flashy features. But if the platform isn’t regulated, you could be taking on far more risk than you realise.

Here is what you should be looking for:

Investor Protection

Crypto can be unpredictable. Prices move quickly, and unfortunately, scams are still out there. However, when you use a MAS-regulated crypto exchange, you’re protected by Singapore’s financial laws.

That means that in order to operate, these platforms must meet legal requirements that reduce risk and have an excellent level of transparency. This is required because, if anything goes wrong, you have a legal process to fall back on.

Security Standards

One of the primary benefits of choosing a trusted crypto platform in Singapore is that it is very secure. All regulated platforms must follow high-level safety measures that include multi-factor authentication and secure wallet storage.

In addition, they are mandated to run regular system checks and audits. By doing so, they make it much harder for hackers or cybercriminals to gain access to your assets.

Transparent Operations

A licensed crypto exchange in Singapore is obligated to disclose how it operates. That includes everything from how it handles your money to how it manages risk.

All exchanges must comply with know your customer (KYC) and anti-money laundering (AML) regulations. By doing so, they help to stop illegal activity and increase confidence among its users.

What Does MAS Regulation Actually Cover?

The Monetary Authority of Singapore (MAS) is responsible for regulating the country’s financial sector. Under its Payment Services Act, any crypto exchange operating in Singapore must register with it and be licensed.

To qualify, exchanges need to meet a strict list of requirements. These include having secure internal systems, safely managing client funds, and reporting financial activities.

They also need to maintain up-to-date records, protect user data, and follow clear processes to prevent money laundering or fraud.

In short, MAS ensures that regulated digital asset exchanges play by the rules and protect your interests as a user.

Risks of Using Unregulated Exchanges

You might come across unregulated platforms that promise low fees or no ID checks. While these features can seem very appealing, they do come with serious risks.

Unregulated exchanges often operate in legal grey zones. So, there’s no guarantee your money is safe. There is also often no clear customer service or legal protection if the platform collapses.

In addition, they’re also less likely to follow strong crypto compliance requirements, which could make you susceptible to scams, hacks, or even frozen assets.

Effectively, it’s a case of short-term gain versus long-term security. And when your money’s on the line, choosing a platform that is regulated is always the smartest choice.

How to Spot a Trusted Exchange in Singapore

If you’re ready to start trading, there are a few simple ways you can tell whether a platform is a trusted crypto platform in Singapore.

Firstly, check whether the exchange is licensed by MAS. You can easily look this up on the MAS website or the exchange’s own site.

Next, review the platform’s security features. Good signs to look out for include SSL encryption, two-factor authentication, and offline (cold) wallet storage.

It’s also worth reading user reviews because this allows you to see what real customers have experienced with the platform. This is particularly important for determining what the level of customer support is like and how the withdrawal processes work.

Finally, keep a lookout for clear information about compliance. A reliable exchange will be upfront about its KYC and AML processes. They should also make it easy to find information about their fees, risks, and trading terms.

Why Singapore?

You might be asking yourself why Singapore. And that is a good question.

Well, for starters, Singapore is a global hub for finance and innovation. It’s also one of Asia’s most forward-thinking countries when it comes to crypto.

But what makes it truly stand out is how well the growth there is regulated. The MAS has worked hard to build a clear legal framework that encourages crypto businesses to thrive, while still protecting users.

Because of this, MAS-regulated crypto exchanges are seen as some of the safest in the world. That is why the country’s strong legal structure, transparent policies, and focus on investor protection make it an ideal choice for serious crypto traders.