Singapore Moves to Put Full Stablecoin Reserves and a Yield Ban Into Law

Singapore Moves to Put Full Stablecoin Reserves and a Yield Ban Into Law


Singapore financial district skyline as stablecoin reserve rules move toward law image By Isaac • September 1, 2026 7:17 am •

Singapore is moving to turn its stablecoin framework from a policy blueprint into enforceable law, and the proposal draws a hard line around what a regulated token is supposed to be.

Under amendments proposed by the Monetary Authority of Singapore, licensed issuers would have to maintain reserve assets equal to at least 100% of their outstanding stablecoins, honor redemptions at par and refrain from paying holders interest or yield.

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The package is not designed to make stablecoins behave like high-yield savings products. It is designed to make them redeemable payment instruments whose backing can withstand stress.

CoinDesk reports that the plan would establish a dedicated stablecoin-issuance license under Singapore’s Payment Services Act. The framework would apply

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