Sectors & markets

Singapore announces tokenized banknote trials and prepares stablecoin legislation

PHOTO: REUTERS

Market Info | Tech & Service| Fintech

Date:  13 November 2025   
Region: ASEAN-O      
Country: Singapore          
Sector: Tech & Service
Sub-sector: Fintech
Section: Market Trends
Theme: Financial Services & Fintech 

Singapore is once again proving itself to be a pioneer in digital finance. At the Singapore FinTech Festival, the Monetary Authority of Singapore (MAS) announced the upcoming launch of trials to issue tokenized treasury bills and the preparation of a bill to regulate stablecoins, as part of its strategy for a secure and scalable digital financial ecosystem, Reuters reported on November 13, 2025.  

According to MAS Managing Director Chia Der Jiun, tokenization is now well underway, even though digital assets backed by real-world assets have not yet achieved full adoption. The aim of these trials is to test the issuance of public securities in the form of digital tokens and settle them using a central bank digital currency (CBDC), which would be used by financial institutions for large-scale transactions. The MAS is also working on developing a regulatory framework for stablecoins, with a particular focus on robust reserve coverage and reliable redemption mechanisms, to ensure safety and stability for users and markets. These measures aim to build confidence in these digital assets while supporting innovation. 

The MAS plans to publish a regulatory guide on tokenized capital market products in the near future and is working in coordination with international counterparts to promote wider adoption of these technologies. Agreements have been announced with foreign central banks to trial real-time, interoperable cross-border settlements, further strengthening Singapore's position as a major digital finance hub in Asia.  

Source : “Yantoultra Ngui and Jun Yuan Yong, 13/11/2025 , Reuters”