Crypto has been the wild west for 10+ years, and its been rife with scams, bad actors, and incompetence. It was borne out of distrust of the institutions, so what place does the institutions have with it today? Why are we calling ourselves the first regulated DeFi platform?
Staked.Finance is complying with regulatory requirements and is in the midst of a licence application with the Monetary Authority of Singapore. The Payment Services (PS) Act is a forward looking and flexible framework for the regulation of payment systems and payment service providers in Singapore. It provides for regulatory certainty and consumer safeguards, while encouraging innovation and growth of payment services and FinTech.
To be approved for a Payment Service Provider Licence in Singapore, the following requirements are mandatory:
- Base capital S$250k
- $100k/$200k security
- Either (i) at least one Executive Director is a SC/PR or (ii) at least one Executive Director is EP and another director who is a SC/PR - they must fulfil MAS' fit and proper criteria
- Key persons competent to do the job
- Permanent place of business with at least one staff present to address queries from customers
- Compliance arrangement in place appropriate for the intended operations
- Management of technology risk
- Audit arrangements in place
We follow the ISO27001 standards closely to manage our technology risks. ISO/IEC 27001:2013 (also known as ISO 27001) is the international standard for information security. It sets out the specification for an information security management system (ISMS). ISO 27001’s best-practice approach helps organisations manage their information security by addressing people, processes and technology. Our software is developed under ISO27001 accredited standards and audited by Coinspect, the leading software audit organisation in the blockchain space.
The basic goal of ISO 27001 is to protect three aspects of information:
- Confidentiality: only the authorized persons have the right to access information.
- Integrity: only the authorized persons can change the information.
- Availability: the information must be accessible to authorized persons whenever it is needed.
Why the world will move to regulated DeFi
- Users are tired of bad actors building unreliable products
- Institutional credibility and oversight to ensure products are built properly
- The probability that a regulated entity may go down is much less than a fly by night operation.