Source of article: The Strait Times

Writing credits: Claire Huang

In the aftermath of the proposals announced by the Monetary Authority of Singapore (“MAS”) to restrict cryptocurrency speculation by retail investors, Hong Kong started a public consultation to legalise retail-investor crypto trading. Hong Kong’s move is perceived by market observers as part of a strategy to revive confidence in the city as a regional financial hub.

Japan is taking steps to facilitate tokens listing in a volte-face reversal of its earlier conservative position. Australia is increasingly perceived to be a hub for digital-asset exchange-traded funds.

The MAS is aware that in the internet age, it is not possible to enjoin retail investors from engaging in cryptocurrency speculation on platforms managed by foreign operators not regulated by the MAS or not operating within Singapore. Regulatory arbitrage is a reality when countries have different policies and rules governing cryptocurrency trading by retail investors.

At the end of the day, retail investors must remember the caveat emptor principle before flocking to platforms that offer astronomical returns that appear to be a once in a lifetime opportunity to get rich. You may be taking a ride to La-La Land which end-destination could be fatal and final after the party ends.

This is from my post on LinkedIn here.