Ripple Labs has been approved by the Singapore central bank to expand its payment services in the country. This move comes as the company adapts a major effort to attract more institutional clients by enhancing its business and offerings via several acquisitions.
This news was revealed after reports claimed that the firm’s Singapore branch, Ripple Markets APAC, had obtained permission from the Monetary Authority of Singapore (MAS) to expand its regulated payment activities. However, the approval comes with specific requirements. One of the requirements is that Ripple will need to enhance its regulated payment activities under its Major Payment Institution (MPI) license.
Ripple set to expand institutional services in Singapore
In a statement, Monica Long, President of Ripple, mentioned that the firm acknowledges Singapore’s innovative approach. She also expressed their belief that the expanded license enhances their ability to continue investing in the country and to establish the necessary infrastructure that financial institutions need to transfer their money effectively, swiftly, and securely.
According to several sources, Ripple has been using its native digital payment tokens to carry out international transactions. These tokens include stablecoin RLUSD and XRP. These services were designed to function as both an on-ramp and an off-ramp, helping banks and businesses with collection, holding, swapping, and payouts, according to Ripple.
Meanwhile, reports revealed that Ripple has made several key acquisitions to enhance its business and services targeting institutions. For instance, Ripple bought Palisade, a crypto firm that offers both wallet-as-a-service technology and operates as a licensed digital asset custodian in France. Regarding its MPI license, the company was awarded this license in 2023.
The MPI license enables it to provide its users in Singapore with regulated digital payment token services. When sources checked the MAS website on Monday of this week, they noticed that the website only lists digital payment token services that are licensed under Ripple. With this token, one can purchase or sell digital payment tokens or provide users with a platform that allows them to trade these tokens.
Since 2017, Ripple has been actively operating in Singapore. When asked to comment on the country, the firm described Singapore as a significant area for its global operations. Fiona Murray, currently serving as Ripple’s vice president and managing director for the Asia Pacific, weighed in on the topic of discussion. Murray stated that the country is thriving due to on-chain activity.
She noted that it has also been increasing significantly in the area, with a rise of around 70% compared to the previous year. This activity positions Singapore as a major player in this surge. With this wider range of payment activities, we can better assist the institutions driving this growth by providing a variety of regulated payment services, which will make payments faster and more efficient for our customers,” she added.
