Following U.S. approval, the Monetary Authority of Singapore has cautioned ordinary investors against purchasing spot Bitcoin ETFs.
With the recent approval of Bitcoin exchange-traded funds (ETFs) in the United States, the Monetary Authority of Singapore (MAS) has advised local individual investors not to buy spot Bitcoin ETFs.
In response to questions from CNA, MAS sent a warning note advising anyone thinking about trading these products in foreign exchanges to exercise caution, as spot Bitcoin ETFs are not recognized as suitable assets for Collective Investment Schemes (CIS).
“Given this, spot Bitcoin ETFs are not approved by MAS for offer to retail investors.”
Given the recent authorization of these investment funds by the U.S. Securities and Exchange Commission (SEC), Singapore’s regulatory position on cryptocurrencies may shift.
In response to the SEC’s action, the regulator in South Korea prohibited domestic brokers from providing spot Bitcoin ETFs abroad, citing possible infractions of the country’s current policy regarding virtual assets.
The Financial Services Commission of South Korea indicated that it might reconsider its position on cryptocurrency regulation despite the prohibition, but it did not offer any specifics.
All applications for spot Bitcoin ETFs were approved by the SEC, as previously reported SEC Chair Gary Gensler issued a statement shortly after the agency approved several ETFs, stating that although Bitcoin received approval, the agency “did not approve or endorse Bitcoin.”
He further advised investors to be wary of the numerous risks connected to Bitcoin and products whose value depends on cryptocurrency.
