Supinenda Mohanty, head of fintech at the Central Bank of Singapore and financial regulator at the Monetary Authority of Singapore, said Singapore is exploring the central bank’s digital currency, or CBDC.
Talking about this in an exclusive interview with Cointelegraph, Mohanty noted that there is not much demand for retail digital central bank coins in Singapore, given that the country’s payment infrastructure already allows for fast and cheap payments between individuals.
Instead, the Singapore central bank aims to develop a wholesale central bank digital currency that will be used to facilitate securities settlement and payments between financial institutions.
“I don’t think we need to do more experimentation with the CBDC sentence,” Mohanty said. “Now we have to think about getting into production.”
According to Mohanti, it is a strong and clear set of rules, along with an openness to innovation, that makes Singapore one of the most attractive destinations for cryptocurrency businesses in Southeast Asia.
Mohanty said defining Singapore as a “cryptocurrency friendly” would be very wrong. ”
Indeed, he noted that the small town in the state has very clear rules to prevent money laundering and terrorist financing.
Singapore’s central bank still believes that while there are risks to business, the technology itself is neutral.
“We are committed to making the cryptocurrency a trial design in Singapore,” he explained.