Cumberland secures preliminary approval for a Singapore payment license

The Monetary Authority of Singapore has granted Cumberland SG, the Asia division of the U.S.-based crypto trading firm Cumberland, in-principle approval for a Major Payment Institution license.

The approval, which was announced on Mar. 18, brings the company one step closer to providing regulated digital payment token services in Singapore. An in-principle approval indicates that Cumberland has met the first set of regulatory requirements for a payment services license.

However, it still needs to meet several other conditions to obtain a full license. MAS retains the right to revoke approval if necessary.

After obtaining a full license, Cumberland will be able to offer institutional clients in Singapore a wider range of compliant digital asset services. According to the firm, the approval strengthens its presence in Singapore, which it considers a major financial hub for digital assets.

Cumberland caters to institutional clients worldwide by offering market-making and liquidity services for a range of cryptocurrencies. The company is a division of DRW, a major player in both the traditional and digital asset markets, with its headquarters located in Chicago.

Singapore has emerged as a preferred jurisdiction for digital asset firms because of its progressive regulatory framework. Coinbase, BitGo, and Anchorage are among the 29 companies that have secured digital payment token licenses from the MAS.

In recent months, Gemini and OKX have also received approvals, reinforcing Singapore’s position as a rising hub for top regulated cryptocurrency firms.

The announcement comes on the heels of the U.S. Securities and Exchange Commission’s move to dismiss its case against Cumberland on Mar. 4. The case was part of a larger regulatory crackdown in which the SEC accused the company of dealing in unregistered securities.

Under the new, crypto-friendly SEC leadership, several investigations have also been dropped, including those against Consensys and Kraken. With progress in both Singapore and the U.S., Cumberland is making strides toward regulatory clarity as it expands its institutional digital asset services in key markets.