The Monetary Authority of Singapore’s chairman Tharman Shanmugaratnam lauded the potential of cryptocurrencies in finance, highlighting stablecoins as a means for payments.
The MAS is keeping an «open mind» on cryptocurrencies, allowing technologies and innovation to develop while maintaining regulatory oversight.
«There may be a role for crypto in future finance that extends beyond pure speculation and illicit finance,» said MAS chairman Tharman Shanmugaratnam during the Asia Financial Markets Forum.
Stablecoins
One area of crypto that Tharman highlighted during the event was stablecoins, which he believed had a potential role in payments.
«I think the future will be one where regulated stablecoins will have a useful role in a traditional payment system that innovates and becomes more inter-operable across borders for cheap, fast and instant payments,» he said during his dialogue with «Bloomberg News».
Not Replacement Money
Despite his optimism, Tharman underlines that he does not expect cryptocurrencies to replace money as legal tender.
«If you have an instrument that is volatile in pricing, it's never going to become money,» he said. «It's going to be a speculative asset, for both the wise and foolish.»
