Close Menu
  • Coins
    • Bitcoin
    • Ethereum
    • Altcoins
    • NFT
  • Blockchain
  • DeFi
  • Metaverse
  • Regulation
  • Other
    • Exchanges
    • ICO
    • GameFi
    • Mining
    • Legal
  • MarketCap
What's Hot

Bitcoin eyes rally beyond $150k as golden cross forms

19/07/2025

Trump-affiliated USD1 has $0 in excess reserves

19/07/2025

Collably Network and Buzzup Form a Big Partnership to Enhance Web3 Social and Financial Experience

19/07/2025
Facebook X (Twitter) Instagram
  • Back to NBTC homepage
  • Privacy Policy
  • Contact
X (Twitter) Telegram Facebook LinkedIn RSS
NBTC News
  • Coins
    1. Bitcoin
    2. Ethereum
    3. Altcoins
    4. NFT
    5. View All

    Bitcoin eyes rally beyond $150k as golden cross forms

    19/07/2025

    BPI Unveils Bitcoin Policy Manifesto Urging US Leadership

    19/07/2025

    How bond market helped push BTC to all-time high

    18/07/2025

    Strategy to Sell $2.1 Billion in Stock to Buy More Bitcoin

    18/07/2025

    Will ETH Pull Back to $2.8K Before Next Leg Up?

    18/07/2025

    BlackRock Just Broke Major 2,000,000 Ethereum (ETH) Milestone

    18/07/2025

    How Will Coinbase Rebrand Its Wallet?

    18/07/2025

    Ether Sees Record Short Build up as Hedge Funds Pile on Basis Trade

    18/07/2025

    Trump-affiliated USD1 has $0 in excess reserves

    19/07/2025

    Solana ETF bump fizzles after $161 price spike

    18/07/2025

    Crypto Whales React to Trump’s ‘Big Beautiful Bill’—3 Altcoins See Accumulation

    18/07/2025

    XRP set for double-digit surge? Three powerful catalysts for Ripple to watch in July

    18/07/2025

    CryptoPunks Dominate Top Weekly NFT Sales amid Overall Market Sales Volume Surges 34.19% to $133.66 Million

    14/07/2025

    Volume Plunges While Transactions Soar

    11/07/2025

    Snoop Dogg’s TON NFT Launch Could Signal New Narrative for NFT Market

    10/07/2025

    Snoop Dogg’s Telegram NFT Drop Sold Out in Half an Hour

    10/07/2025

    Bitcoin eyes rally beyond $150k as golden cross forms

    19/07/2025

    Trump-affiliated USD1 has $0 in excess reserves

    19/07/2025

    Collably Network and Buzzup Form a Big Partnership to Enhance Web3 Social and Financial Experience

    19/07/2025

    BPI Unveils Bitcoin Policy Manifesto Urging US Leadership

    19/07/2025
  • Blockchain

    Collably Network and Buzzup Form a Big Partnership to Enhance Web3 Social and Financial Experience

    19/07/2025

    Galxe and 0G Labs Team Up to Build Powerful Web3 dApps With AI and Blockchain

    18/07/2025

    Solana and BNB Behind Blockchain’s Biggest Week Yet — Everything to Know

    18/07/2025

    Grvt Launches On-Chain Investment Marketplace

    18/07/2025

    Bitkub Exchange Collaborates with Delorean Labs for RWA Innovation and Tokenized Mobility

    18/07/2025
  • DeFi

    Blazpay Forges Partnership with X1 EcoChain to Advance Sustainable DeFi

    18/07/2025

    SolvBTC Mints satUSD Stablecoin on BNB Chain for USD Collateral, BTC-Backed DeFi

    18/07/2025

    Mezo Launches Supernormal Foundation to Support BitcoinFi Growth

    18/07/2025

    Kana Labs and Rewardy Wallet Unveil Multi-Chain Swap Experience with Version 1.4.0

    18/07/2025

    StakeStone Unlocks New Era of DeFi with USD1 Vault

    18/07/2025
  • Metaverse

    Elon Musk’s xAI Quietly Fixed Grok by Deleting a Line of Code

    09/07/2025

    Bonk.fun Grabs 55% of Solana Token Issuance Share, Pushes BONK Demand

    08/07/2025

    Apple’s Top AI Exec Leaves For Meta Amid Aggressive Hiring Trend

    08/07/2025

    Automobili Lamborghini Unveils Digital Temerario and GT3 NFTs in Wilder World

    07/07/2025

    Microsoft’s AI Diagnoses Like House, Bills Like Costco

    02/07/2025
  • Regulation

    BioSig and Streamex eye $1.1b for a gold-backed treasury strategy on Solana

    18/07/2025

    66 Trademarks Signal Future of Korean Won Stablecoins

    18/07/2025

    Big Promise, Bigger Hurdles in the Race to Democratize Investing

    18/07/2025

    Global markets aren’t buying Trump’s tariff threats this time

    18/07/2025

    Bitcoin Exchange Binance Announces It Removed 5 Altcoins From Its Watchlist And Seed Tag List! What Does This Mean? Here Are The Details

    18/07/2025
  • Other
    1. Exchanges
    2. ICO
    3. GameFi
    4. Mining
    5. Legal
    6. View All

    Exchange-run launchpads average 10x gains but face scrutiny over steep valuations, opaque models

    18/07/2025

    MOEX to offer futures tracking the value of Ethereum

    18/07/2025

    Binance, KuCoin & Upbit Volumes Tank as Traders Flock to Decentralized Exchanges

    18/07/2025

    eToro Enters Singapore amid Approval of MAS Licence

    18/07/2025

    ICO for bitcoin yield farming chain Corn screams we’re so back

    22/01/2025

    Why 2025 Will See the Comeback of the ICO

    26/12/2024

    CARV Joins Anomaly Games to Redefine AI-Led Gaming Interoperability

    18/07/2025

    GaFin Joins Efforts with Helium Wars to Redefine the Future of Web3 Gaming

    16/07/2025

    Crypto games are struggling in 2025, but big brands aren’t giving up

    15/07/2025

    R-Games and LoveBit Unite to Power ESG-Driven Web3 Gaming

    15/07/2025

    U.S.-Listed Bitcoin Miners Reach New Peak Share of Global Hashrate

    17/07/2025

    French lawmakers say country could generate $150M in annual revenue from Bitcoin mining

    17/07/2025

    Bitcoin Mempool Emptiness Sparks Network Security Concerns

    16/07/2025

    All-Time High Mining Difficulty, Quiet Google Trends—Is This the ‘Mature’ Bitcoin Bull Market?

    15/07/2025

    US President Donald Trump Makes Hot Remarks on Cryptocurrencies – Shares a Long Statement

    18/07/2025

    Here’s All The Bills Being Introduced In The U.S., Their Potential Impact, And All You Need To…

    18/07/2025

    Trump Vows to Push for New Crypto Bills in Congress

    18/07/2025

    NTS Unveils Tough Stance Against Digital Asset Tax Evasion

    18/07/2025

    Bitcoin eyes rally beyond $150k as golden cross forms

    19/07/2025

    Trump-affiliated USD1 has $0 in excess reserves

    19/07/2025

    Collably Network and Buzzup Form a Big Partnership to Enhance Web3 Social and Financial Experience

    19/07/2025

    BPI Unveils Bitcoin Policy Manifesto Urging US Leadership

    19/07/2025
  • MarketCap
NBTC News
Home»Regulation»Singapore MAS tokenization standards require overhaul to realize innovation potential
Regulation

Singapore MAS tokenization standards require overhaul to realize innovation potential

NBTCBy NBTC27/11/2023No Comments8 Mins Read
Share
Facebook Twitter LinkedIn Pinterest Email


The Financial Authority of Singapore’s (MAS) Undertaking Guardian has been making waves in current months for its progressive strategy to digital property.

As an illustration, MAS just lately launched the world’s first reside repurchase transaction utilizing a digitally native bond on a public blockchain. This and numerous different improvements mark a big milestone in its current digital asset strategy.

Nevertheless, whereas optimistic about MAS’s developments, Ralf Kubli, a board member of the Casper Affiliation, the group liable for overseeing Casper Community, highlights that this innovation isn’t with out its challenges.

Kubli believes a essential but usually neglected facet of the tokenization course of is the difficulty of standardization.

In an interview with CryptoSlate, he defined that present practices in asset tokenization primarily deal with digitizing the asset itself however neglect to include the related liabilities and money flows into this digital transformation. This ends in the creation of asset-backed tokens appended to blockchains, usually accompanied by a easy PDF outlining phrases and situations.

Kubli believes this strategy, whereas seemingly environment friendly, nonetheless necessitates guide intervention for money move calculations, probably resulting in errors and discrepancies. He factors out that this lack of transparency and verifiability in money flows carefully resembles the problems that precipitated the 2008 banking disaster. Additional, Kubli argues that the important thing to averting the same financial disaster is making certain that money flows are digitized, tokenized in a machine-executable format, and, crucially, standardized.

Within the forthcoming interview, Ralf Kubli delves deeper into these challenges and explores the potential pathways to a safer and environment friendly future in asset tokenization.

You have highlighted the dearth of standardization in asset tokenization practices as a big subject. Might you elaborate on the dangers and challenges this presents, particularly within the context of the Financial Authority of Singapore’s current initiative?

The current announcement of the Undertaking Guardian initiative from the Financial Authority of Singapore is a superb step towards showcasing the advantages that tokenization can engender. Nevertheless, these tokenized property nonetheless aren’t using any requirements that may make them each secure and interoperable throughout all the monetary ecosystem. The present tasks don’t outline the cost obligations, that means the money flows of the monetary instrument are in a machine-readable and machine-executable time period sheet. Failing to take action means we nonetheless have the identical dangers which have already plagued the monetary business for years. 

As for challenges, it might take a while to get everybody to undertake the identical requirements, but when tasks such because the one from MAS need to really make progress, they want to take action.

You talked about that tokenization platforms usually overlook liabilities and money flows. How essential is it to incorporate these parts within the tokenization course of, and what can be the best strategy to realize this?

Because it stands, most tokenized property don’t embody algorithmic descriptions of their liabilities or money flows. They merely tokenize a PDF model of a contract, that means that people nonetheless must learn, interpret, and course of them manually and discover the corresponding paperwork detailing the monetary contract. This fully undermines the purpose of tokenization and doesn’t meaningfully transfer the monetary business ahead. 

Implementing money move logic into the sensible contracts that symbolize these property turns them into “Good Monetary Contracts” that are actually machine-readable, executable, and auditable. With these, we are able to really take pleasure in the advantages that tokenization brings, permitting for a lot sooner, extra environment friendly, and extra clear finance. 

Finally, the inclusion of money flows and cost obligations in Good Monetary Contracts resolves the reconciliation downside each inside and between monetary companies whereas permitting for systemic danger administration.  

Drawing parallels to the 2008 banking disaster, you have prompt {that a} lack of transparency in money flows may be hazardous. How can blockchain and tokenization applied sciences be leveraged to forestall such financial dangers sooner or later?

By automating finance through tokenization, each firm’s steadiness sheet may be fully audited nearly in real-time. As a result of the monetary property that are on these agency’s steadiness sheets are forward-looking, static, and dynamic, “what if?” simulations may be carried out at any given time.

Corporations will be capable of see precisely the place they stand by way of liquidity and might simply mannequin how they’d fare beneath any conceivable financial situations. This could successfully scale back the chance of occasions like those that led to the 2008 disaster, in addition to more moderen volatility and contagion that now we have seen.

Understanding the present state of every monetary contract on any agency’s steadiness sheet in an algorithmic and standardized kind will even scale back the regulatory burden, permitting for efficient and progressive regulation and systemic danger analyses throughout many companies.

Do you view the Financial Authority of Singapore’s transfer as a step in direction of addressing these tokenization challenges globally, or is it extra of a localized effort? How can different regulatory our bodies be taught from this?

Many initiatives by the MAS are developed in collaboration with a number of regulators; due to this fact, no matter occurs in Singapore with massive worldwide monetary companies is of a world nature.

In your opinion, what does the longer term maintain for the regulation of tokenized property? How vital is worldwide cooperation in standardizing these practices?

Tokenized monetary property will revolutionize the best way monetary techniques function. You’ll be able to consider it as upgrading the plumbing of capital markets. Tokenization is already occurring with money and money equivalents on a big scale (deposit tokens, cash market funds, T-Payments, and so forth.). For fund tokenization, many massive gamers are investing closely (the likes of Constancy, Franklin Templeton, and KKR).

For debt, structured devices, and derivatives, algorithmic definitions of the money flows of the underlying monetary instrument are a pre-condition for the profitable adoption of infrastructure for tokenized monetary property.

A bond or a mortgage stays a bond or mortgage when it’s tokenized. Due to this fact, the regulators ought to be joyful to have DLT-enabled monetary infrastructure, the place it’s a lot simpler to trace which celebration holds which obligation.

With out the Money Flows contained in the tokens representing debt, structured devices, or derivatives, these tokens will stay dumb and never present the required effectivity in worth discovery and post-trade automation.

What are some potential options or improvements you foresee that would handle the standardization subject in asset tokenization?

A complete set of open banking requirements that algorithmically outline how monetary contracts work together. Combining tokenization with clearly outlined requirements can convey a brand new degree of effectivity, transparency, and legitimacy to finance and companies. Thankfully, requirements exist already that may handle these issues, particularly the requirements outlined by the Algorithmic Contract Varieties Common Requirements (ACTUS) Analysis Basis. Implementing a construction corresponding to that is what wants to come back to tokenization if it needs to really be adopted.

Do you consider the problems you have recognized with tokenization are particular to stablecoins or indicative of a broader development within the monetary system?

The reality is that utilizing stablecoins for funds brings little innovation to finance. The improvements in cost rails have been mistaken as improvements in finance since finance is the change of money over time, and funds are the change of money at this time.

DeFi presently consists primarily of over-collateralized lending, which is able to preserve it a distinct segment type of finance, as in the actual world, very small quantities of over-collateralized loans exist. The explanation why DeFi loans should be so closely collateralized is as a result of DeFi is incapable of calculating the money flows or liabilities of a mortgage with out human intervention.

As I’ve stated, to innovate and entice establishments, liabilities and money flows have to be tokenized, machine-executable, and, maybe most significantly, standardized. With sound monetary logic underpinning the blockchain-based tokenization we see at this time, DeFi can develop past its area of interest standing into the revolutionary know-how it goals to turn into.

What recommendation would you give to innovators and regulators within the blockchain house to handle these challenges successfully?

For innovators, don’t simply construct one other cost rail – that solely creates one other channel that must be independently audited. As an alternative, make the most of sensible monetary contracts that may be audited through automation. That is the true innovation.

As for regulators, perceive that embracing tokenization that follows agreed-upon requirements will genuinely make your jobs a lot simpler. All of those devices and rails might be clear and enforced by code. This implies it received’t even be potential for firms to do issues like overvalue positions and transfer liabilities, and it will be fully seen if by some means they need to.

Lastly, what’s your imaginative and prescient for the way forward for blockchain and tokenization in making a extra environment friendly, clear, and secure monetary ecosystem?

That is the primary time in 60 years, because the introduction of computer systems in banks, that we are able to handle and resolve the primary issues plaguing the banking and monetary techniques. By implementing open supply, algorithmic monetary contracts, the monetary world of tomorrow will work a lot extra effectively, and steadiness sheets might be reconcilable inside minutes or hours with decreased or eradicated cases of fraud.

Finished accurately, the Blockchain can really provide the reliability that’s required to enhance firm-wide danger administration and make systemic danger administration potential once more. I feel that is occurring; it would simply take somewhat longer to get everybody on board.

Join with Ralf Kubli
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
NBTC

Related Posts

BioSig and Streamex eye $1.1b for a gold-backed treasury strategy on Solana

18/07/2025

66 Trademarks Signal Future of Korean Won Stablecoins

18/07/2025

Big Promise, Bigger Hurdles in the Race to Democratize Investing

18/07/2025

Global markets aren’t buying Trump’s tariff threats this time

18/07/2025
Add A Comment

Comments are closed.

Top Posts
Get Informed

Subscribe to Updates

Get the latest news from NBTC regarding crypto, blockchains and web3 related topics.

Your source for the serious news. This website is crafted specifically to for crazy and hot cryptonews. Visit our main page for more tons of news.

We're social. Connect with us:

Facebook X (Twitter) LinkedIn RSS
Top Insights

Bitcoin eyes rally beyond $150k as golden cross forms

19/07/2025

Trump-affiliated USD1 has $0 in excess reserves

19/07/2025

Collably Network and Buzzup Form a Big Partnership to Enhance Web3 Social and Financial Experience

19/07/2025
Get Informed

Subscribe to Updates

Get the latest news from NBTC regarding crypto, blockchains and web3 related topics.

Type above and press Enter to search. Press Esc to cancel.