Blockchain – Singapore.............................
Singapore has seen unprecedented growth of blockchain use, thanks to its government and regulators:
Singapore is ranked as the world’s best place to do business. The country has seen unprecedented growth in the number of enterprises using blockchain technology and cryptocurrencies. What has contributed to this is the fact that the country has a free-market economy, it has very investor-friendly laws, there is availability of skilled staff and the connectivity is excellent.
What is most significant about Singapore’s ascend to the top of the block chain graph is its regulatory environment. The financial services regulator, the Monetary Authority of Singapore, of MAS, is highly proactive, well-informed and totally transparent in its operations. Apart, it is ready for experimentation with new technologies - especially blockchain and cryptocurrencies. The government too is highly receptive to these technologies. Singapore also encourages innovation by holding discussions on key issues by industry experts and organizes events that promote adoption of newer technologies.
A recent PwC study showed that as much as 82% of executives in Singapore firms have said their firms have taken up blockchain initiatives in one way or other, and 13% of these firms have brought the initiatives live to the market. The startups in Singapore are not just confined to cryptocurrencies, they are moving ahead in the value chain as well.
PROACTIVE POLICIES
The dominance of blockchain technology in the scheme of things in Singapore can also be attributed to the proactive policies of the government. For example, MAS has concluded an agreement with global blockchain company R3 and a consortium of financial services institutions in 2016 at the instance of the government to take up a proof-of-concept project to conduct interbank payments using blockchain technology. Now it is exploring the use of blockchain to link the National Trade Platforms to the trade platforms of other countries. The government through MAS has also made it clear that it will have an open mind in matters of regulating cryptocurrencies. Way back in 2014, it had declared Bitcoin as a good that can be purchased (even if it itself can purchase goods) and therefore subject to a specific tax. MAS has also clarified that while the digital tokens themselves would not be regulated, the intermediaries would fall under MAS regulations citing terrorism and money laundering. The strategy is to apply regulation around cryptocurrency, rather than the cryptocurrency itself.
MAJOR EFFORTS
Singapore is poised to become the Asian Blockchain Hub. It has 20 global financial institutions setting up innovation labs to test new ideas. One effort that has had a global impact is the launch of the world’s first cross-border Blockchain For Trade, linking ASEAN and China’s Digital Silk Road by Singapore-based Global eTrade Services (GeTS), which is a leading eGovernment products and services provider. Among other blockchain-based projects in the financial services industry are the trading platform replacing the existing TradeNet and TradeXchange platforms used for trading and logistics, the second phase of Project Ubin, launched by MAS in conjunction with various financial institutions and technology partners for interbank payments, which is now being used to evaluate the implications of using tokens as a virtual Singapore dollar and KYC Blockchain,which helps various financial institutes and banks to verify their customer’s identities and details in an efficient and transparent way.
TOP 7
Singapore has some 7 top blockchain projects and startups:
OpenCerts, the largest blockchainrelated application which provides a platform to publish educational credentials, allowing students and employers to verify certificates.
Project Ubin focusing on exploring the use of DLT for clearing and settlement of payments and securities.
VeChain project focusing on building a trust-free and distributed business ecosystem that enables transparent information flow, efficient collaboration and high-speed value transfer.
Zilliqa, whose core feature is sharding – the division of the network into several smaller component networks capable of processing transactions in parallel.
Bluzelle a decentralized data ecosystem for individuals and businesses to have full data control and the ability to monetize their data.
Electrify allows people to trade electricity on a peer-to-peer (P2P) marketplace.
Qtum providing a standardized, stable and safe development environment for smart contracts.