Singapore’s retail cryptocurrency market is entering a new phase of maturity, as traders increasingly prioritize trustworthy platforms over those with low fees, according to a new study.
On Thursday, a joint survey was conducted by finance platform MoneyHero and cryptocurrency exchange Coinbase open 61% of “financially savvy” investors in Singapore now own cryptocurrencies, with trust emerging as a key deciding factor for choosing exchanges, going beyond fees.
The data suggests that the city-state’s cryptocurrency ecosystem is evolving beyond chasing the cheapest exchange to placing a value on regulated frameworks, security, and long-term condemnation.
The study, which surveyed 3,513 retail and Singaporean investors interested in cryptocurrencies, found that 58% of them define themselves as long-term holders, while 42% have had investments for more than two years.
Additionally, data showed that survey respondents kept their crypto holdings below 10% of their total portfolios, with an average of three tokens per holder, suggesting that investors are balancing discipline and diversification.
Retail investors plan long-term investments
The survey results show a sign of deeper adoption in the region. The 61% ownership rate among financially savvy Singaporeans suggests that cryptocurrencies are no longer a niche market.
According to the survey, 27% of non-holders expressed interest in investing in the next 12 months. This shows that there is also room for growth in the region.
In terms of how investors view cryptocurrencies, the survey results showed a split. 44% of respondents said they view cryptocurrency as an asset, while 29% said they view it as a speculative tool.
When it comes to education, social media was described as one of the main sources of information for participants.
The results showed that 62% of participants cited social media as their primary source of cryptocurrency education. This raises the opportunities and risks of misinformation, the researchers noted.
After social media, 55% mentioned friends and family, while 43% mentioned news and media. Exchange blogs were followed by 27% of participants, who cited them as their primary learning resources.
In terms of confidence in their understanding of cryptocurrencies, the results were split, with 48% saying they were confident in their knowledge of cryptocurrencies, while 52% said they were not confident.
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A progressive but rigorous regulatory approach
Singapore has long emerged as a financial centre, with low corporate taxes and business-friendly regulations AAA rating From the international credit rating agency Fitch.
The island city-state was also among the early movers in regulating cryptocurrencies. In 2020, that is cent The Payment Services Act (PSA) 2019, one of the first comprehensive legal frameworks covering cryptocurrencies in Asia. The law defines digital payment tokens (DPTs) as digital representations of value, which are stored or traded electronically.
Although Singapore is considered a progressive hub for cryptocurrencies, it is also a highly regulated jurisdiction.
In June the country Local crypto companies asked Cease their offshore activities targeting foreign markets, cease operations or face severe penalties, including a fine of $200,000 or imprisonment for up to three years.
Singapore’s financial regulator, the Monetary Authority of Singapore, said there will be no grace period, no transitional arrangements, and no extensions.
And recently Singapore He signaled an upcoming tremor One of the unregulated stablecoins. On November 13, MAS Managing Director Chea Der Jeon said that stability needs to be strengthened and that unregulated cryptocurrencies have a patchy record in maintaining their peg.
He added that over time, regulations should be strengthened as stablecoins become more systemic.
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