Singapore's central bank has revoked the Major Payment Institution licence of Bsquared Technology Pte Ltd, ending the crypto payment firm's authorisation to provide digital payment token services in the city-state. The revocation took effect on 14 May 2026, roughly 16 months after BSQ received its licence on 1 January 2025.
The Monetary Authority of Singapore said in a statement that an on-site inspection conducted in 2025 uncovered serious breaches of regulatory requirements. These included significant weaknesses in risk management practices and conflict of interest policies, as well as failures to comply with MAS guidelines on outsourcing in its arrangements with related entities.
More seriously, MAS found that BSQ had provided information that was "false or misleading in material particulars" on multiple occasions – beginning with its original licence application and continuing through the regulator's own inspection process.
Bsquared Technology is a Singapore-incorporated firm that operated as a digital payment token service provider, offering crypto-related payment and dealing services. It held its licence under the Payment Services Act 2019, the framework Singapore uses to regulate firms offering cryptocurrency services. MAS introduced the regime in 2020 to bring digital payment token dealing and transfer under formal oversight, requiring firms to meet capital, compliance, and anti-money laundering standards before obtaining a Major Payment Institution licence. To date, MAS has issued around 37 such licences – and outright revocations remain rare.
MAS said BSQ's activities while licensed were limited and that there are no outstanding customer monies or assets held by the firm. BSQ has been required to submit a closure certificate from its auditors under section 22(7) of the Payment Services Act, confirming all customer funds have reached their intended recipients and that adequate provision has been made for any residual liabilities.
The regulator also said it is reviewing the responsibilities of BSQ's key officers, signalling that individual accountability proceedings may follow the action against the firm itself. "Entities that breach regulatory requirements or provide inaccurate information to MAS will face consequences," MAS said.
The BSQ case is notable less for the scale of its operations than for what triggered the action. Singapore has built its reputation as a crypto-friendly jurisdiction in part on the credibility of its licensing regime, and licence revocations for misleading the regulator – rather than purely operational failures – send a pointed message to other firms navigating the PSA framework.
