Singapore Could Be the Next Big Metaverse and Crypto Hub

Cryptomeria Capital, a Web3 investment firm, released its latest report titled " Overview of the Web3 Ecosystem in Singapore ". The report discusses Singapore's attitude towards web3 businesses, the law, and the existing cryptocurrency and Metaverse ecosystem.

Research shows that Singapore has all the makings to become the next big metaverse and cryptocurrency hub with “a strong legal system, rule of law, top-notch judiciary, accessibility, connectivity, and strong legal infrastructure.” Unlike most countries, the city-state has strong cryptocurrency-related legislation that makes it easy to set up a crypto business and make it thrive.

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Lawmakers, while still cautious about cryptocurrencies, are by no means preventing such progress from happening. The COVID-19 pandemic has accelerated the adoption of various digital solutions, with virtual meetings and working from home replacing the regular 9-5 office work, and even if the pandemic is now slowly easing, the world has made progress and doesn’t want to retreat.

Lawmakers see interest in the metaverse — and people are embracing virtual meetings during the pandemic. As Edwin Tong, Minister for Culture, Community and Youth and Second Minister of Justice, noted at TechLaw Fest 2022: Up Your Game, the popularity of virtual conferences soared in 2020, not declining.

The Metaverse is already part of our commerce and leisure, and social events, games, and art are making their way into this realm as well. With a clear regulatory framework in place, there are many innovative options: legal proceedings are already highly digital, and arbitration hearings and mediation sessions can be conducted remotely.

“COVID-19 has brought about a rapid digital shift in the way businesses operate and people’s behaviors and habits. Suddenly, digital currency is a household topic, owning digital assets such as cryptocurrencies and NFTs is no longer a foreign concept, and businesses Start talking about the third generation of the Internet. This puts pressure on businesses looking to innovate and build ecosystems at lightning speed. - Yi Ming Ng, CEO, Tribe

If this can be done, what else? If you can have a meeting in the metaverse, why not have a wedding in the metaverse? In fact, earlier this month, The Sandbox hosted its first metaverse wedding , which took place at the Alkaff Mansion in Singapore. The bride and groom got married in the Metaverse's version of Alkaff Mansion, one of the most beautiful outdoor wedding venues in Singapore.

encryption license

Metaverse Solutions has made great progress in Singapore. What about crypto businesses?

Thanks to clear regulations, crypto businesses are well-positioned to grow — they don’t have to worry about lawmakers’ attitudes toward the crypto space, and can do what they do best — create innovative technologies and services. While not all crypto firms require a license under Singapore law, some firms whose operations fall under Singapore’s 2019 Payment Services Act (PSA) or Singapore’s Securities and Futures Act (SFA) do require a license. Singapore's central bank, the Monetary Authority of Singapore (MAS), offers two types of licenses: Standard Payment Institution License and Primary Payment Institution License.

When you first see how few companies have obtained their licenses, you might think that Singapore is picky about accepting new crypto businesses. Due to the high standards, only three of the 170 crypto firms that submitted applications have been granted licenses so far. "We don't need 160 companies to set up shop here. Half of them can do it, but the standard is high and in my opinion, that's the best outcome," said MAS managing director Ravi Menon.

Singapore – Asia’s Next Big Metaverse and Crypto Hub

Clearly, Singapore is doing a lot of things right if many crypto companies and metaverse businesses choose to open their headquarters or relocate to Singapore. In 2021, some of the largest and best-known cryptocurrency exchanges — Binance, Gemini, Coinbase, and Crypto.com — applied for licenses in Singapore.

“Singapore has all the key ingredients to become a major crypto hub in Asia. Many founders, investors and exchanges continue to set up their headquarters on this sunny island. While Singapore strives to incubate the next wave of unicorn blockchain projects, Maintaining its unique blend of culture and talent melting pot. SkyArk is building the largest blockchain incubator center in Singapore, supported by well-known institutions and listed companies." - Kelvin Chua, co-founder of SkyArk Studio

Now, we see a wave of innovators disrupting the space. To ease the burden on new companies, Singapore has created a regulatory sandbox for them, giving them time to start operating without having to worry about all the potential regulatory issues at the outset.

In Singapore, the future of the Metaverse and crypto ventures looks bright.