Virtual currency regulation in Singapore

Virtual currencies present many challenges for regulators, not least the concern that itmight be the via media for money laundering and terrorist financing. Thus, even as liberaleconomies embrace the new medium for the transfer of value globally, they face,first, the challenge of designing safeguards against such risks without chilling its use forlegitimate purposes and, second, the issue of whether virtual currency holders’ interestare adequately protected. This article examines the policy concerns that regulators inSingapore face as they seek to navigate the challenge of encouraging virtual currencieswhile addressing the risks they present.