Singapore's central bank has initiated a public consultation on draft legislative changes to the Payment Services Act 2019, aiming to establish a comprehensive regulatory regime for stablecoins within the city-state.

The Monetary Authority of Singapore is also soliciting feedback on additional proposed requirements, taking into account developments in the stablecoin industry since 2023. Its framework for single-currency stablecoins stipulates that only issuers holding a license under this framework may present themselves as MAS-regulated stablecoin issuers and label their digital assets as "MAS-regulated stablecoins."

Stablecoins not under the purview of the authority will be categorized as digital payment tokens. The consultation further invites opinions on policy positions concerning multi-jurisdictional issuance and the recognition of stablecoins issued outside Singapore. Stakeholders have until October 16 to submit their responses.