FOMO Pay, a Singapore-based fintech business, announced today that it has been granted a license by the Monetary Authority of Singapore (MAS) to provide Digital Payment Token Service – the city-first state’s such approval out of 170 applications.
FOMO Pay said that it has been given additional licenses by Singapore to conduct three regulated operations beginning today: merchant acquisition, domestic money transfer, and digital payment token (DPT) service, which applies to cryptocurrencies.
A DPT Service license permits the licensee to facilitate payments using digital payment tokens, such as cryptocurrencies and Singapore’s future central bank digital currency (CBDC). The remaining two licenses will enable FOMO Pay to provide local money transfer services in Singapore as well as to process payments for businesses both online and offline.
FOMO Pay will be permitted to conduct four of the seven regulated operations under the Payment Services Act with the licenses (PS Act). The company had previously secured a license for Cross-border Money Transfer Services. The company claims the licenses would enable it to expand its range of payment services for its clients in Singapore and the region, which include large corporations and small and medium-sized enterprises (SMEs).
FOMO Pay was created in 2015 and initially focused on connecting online and brick-and-mortar merchants to digital payment methods such as e-wallets and credit cards. Today, the company supports over 10,000 merchants across a variety of industries, including retail, telecommunications, tourism and hospitality, food and beverage (F&B), education, and e-commerce.
FOMO Pay’s license to provide digital payment token services follows a succession of in-principle acceptance letters from Singapore to applicants including Australian cryptocurrency exchange Independent Reserve and DBS Vickers, Singapore’s brokerage arm. A regulation that took effect in January 2020 requires licenses for suppliers of digital token payment services, including cryptocurrency exchanges. According to the Singapore Monetary Authority, 170 license applications have been submitted by providers of digital payment token services. Exchanges including as Binance, Coinbase, and Gemini currently operate in Singapore under a transitory exemption. The exemption enables entities to continue providing services during the processing of their license applications.
According to the MAS website, just one license to provide DPT services to Major Payment Institutions had been awarded as of the time of publication.
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