Head of Financial Technology in Singapore 's central bank says it does not expect a scenario in which bitcoin leads to a global financial meltdown akin to the collapse of the investment bank " of Lehman Brothers " in 2008 . In an interview with News Asia , Sunindo Mohanty, head of financial technology at the Singapore Monetary Authority, said that the Bitcoin would not cause a global financial crisis in the event of price collapse. The central bank official insisted that global regulators "are becoming serious in the digital currency market as a whole ," indicating that authorities will deal with regulations if the markets of the petrochemical industry continue to grow globally. And he said:
"We know when we must intervene exactly, this is based on market size, demand and transaction volume, as this will come in time. Therefore, I am not overly concerned about a major crisis in the financial system "
Specifically, he referred to consumer protection regulations to address the " noise " surrounding the digital currency markets. Singapore, long seen as a society of technological progress, has emerged as a global center of financial technology. And had through its central bank much to say recently about the digital exchange technology bitcoin and operations of primary currency "support ICOs " and after the central bank took its position on the currency is central , such as Alpetkoan over the years, the general warning people from investing in digital currency in December . That was at a time when the price of the bitcoin was at an all-time high near $ 20,000 .
In October, the head of the Central Bank of Singapore insisted that the Bitcoin itself did not need any oversight as a digital currency. Instead, the Chairman of the Institute, Ravi Menon, insisted that the regulator should focus on the abuse of digital currency for illicit financing and other illegal activities. As Menon said at the time:
"Therefore, these regulatory requirements apply to activities related to digital currencies, rather than the digital currencies themselves"
Moreover, the central bank insisted that digital currencies have broader applications as well as being used as a store of value. While the head of the Institute said that if cross-border transfers are made through the use of digital currencies, this can lead to many benefits. This is more important than the question of whether the value of the currency of the Bitcoin or other currencies has increased or not.Following a public consultation urging the public to be serious when investing in initial currency support operations ( ICOs ) in August, the central bank issued formal guidelines for operators in November.Source: CCN