Singapore regulator proposes banning crypto trading with borrowed capital

The proposals are part of a consultation paper issued by MAS as it looks to further tighten the country’s crypto regulatory regime. The rules come after a number of high-profile crypto firms collapsed this year, including Three Arrows Capital and Celsius. The regulator reminded people that trading with credit or leverage can lead to losses greater than the investment amount. It’s seeking to restrict crypto service providers from offering debt-financed and leveraged crypto trading, including trading via credit cards. Other proposed rules by the regulator include restricting crypto service providers from offering incentives to retail customers, including free trading credits or tokens.