The Monetary Authority of Singapore (MAS) has launched a consultation on proposed amendments to the Payment Services Act 2019 that would establish how stablecoin issuers can qualify for regulation.
The proposed framework would set requirements covering value stability, capital, redemption at par and disclosure.
Only issuers licensed under the framework would be able to describe their tokens as “MAS-regulated stablecoins”. Stablecoins outside the framework would be treated as Digital Payment Tokens and remain subject to existing consumer protection safeguards.
MAS is also proposing to allow stablecoins jointly issued by Singaporean and foreign issuers to qualify under the framework, provided risks are appropriately managed.
The regulator is further considering recognition for a limited number of foreign-issued stablecoins regulated under comparable overseas frameworks, particularly for cross-border wholesale use cases.
Additional proposals include banning interest payments on MAS-regulated stablecoins, introducing stress-testing requirements and requiring issuers to maintain recovery and orderly wind-down plans.
MAS also plans to introduce safeguards for customer funds received before stablecoins are issued.
Ho Hern Shin, MAS Deputy Managing Director for Financial Supervision, said the proposals would provide “clear regulatory guardrails” for stablecoins meeting high standards of value stability and governance.
She added that regulated stablecoins could serve as a settlement asset in tokenised financial markets while helping to mitigate risks to users and the wider financial system.
MAS is seeking feedback on the proposals until 16 October 2026.
