Coinbase Singapore has implemented new procedures for Singaporean users when conducting cryptocurrency deposits or withdrawals, effective from September 5th.

This update is to align with the regulations set by the Monetary Authority of Singapore (MAS) aimed at preventing money laundering and the financing of terrorism.

MAS' PSN02 on Anti Money Laundering/Counter-Terrorism Financing, para 13 states:

Identification and Recording of Information

13.3 Before effecting a value transfer, every payment service provider that is an ordering institution shall ⎯

(a) identify the value transfer originator and take reasonable measures to verify the value transfer originator’s identity, as the case may be (if the payment service provider has not already done so by virtue of paragraph 6); and

(b) record adequate details of the value transfer so as to permit its reconstruction, including but not limited to, the date of the value transfer, the type and value of digital payment token(s) transferred and the value date.

What Do Singaporean Coinbase Users Now Need to Do?

For users initiating outgoing cryptocurrency transfers from their wallets, specific details must be furnished:

• The type of wallet of the recipient
• The recipient's exchange name (if the transaction doesn't involve a self-custody wallet).
• The full name of the recipient.
• The recipient's country of residence.

This works inversely as well - that is to say if a user receives cryptocurrency deposits from sources external to the Coinbase platform, users are obligated to provide information about the sender.

This will include the sender's full name and country of residence.

Coinbase's Presence in Singapore

Despite being based in the United States, Coinbase appears to regard the Singaporean market as fairly significant, changing its policies to abide by regulations and to facilitate onboarding.

Coinbase previously introduced Singpass integration for Singaporean customers this year.

Ongoing Crypto Regulation by MAS

Coinbase Singapore has cautioned users that failure to provide the requisite counterparty information may lead to a disruption in processing their cryptocurrency transactions.

This development aligns with MAS's previous initiatives, introduced last year, that necessitate digital asset service providers to gather their users' personal information for all transactions executed on their platforms.

These measures are fundamentally designed to mitigate the misuse of cryptocurrencies for illicit activities, such as money laundering.