Cryptocurrency sector in Singapore has grown more than 10 times

Even as it remains wary of speculative digital products, Singaporean investment in the crypto and blockchain industries more than tenfolded last year, cementing the city-state’s status as a crypto powerhouse.

According to the KPMG Pulse of Fintech study issued on Tuesday, 82 transactions totaling $1.48 billion were completed last year, up from $110 million in 2020.

Cryptocurrency trades target software

Even as regulators tighten control, KPMG predicts that crypto investment in Singapore will remain strong this year.

The central bank’s advice last month for crypto businesses to refrain from advertising their services to the general public sent shivers through the sector.

“Cryptocurrencies and blockchain are projected to be extremely attractive investment sectors in 2022, as more crypto enterprises seek authorities for clear advice on actions to assist in expanding this market,” said Anton Ruddenklau, a Singaporean market leader.

According to KPMG, the majority of cryptocurrency and blockchain agreements last year focused on software and underlying infrastructure, accounting for a third of Singapore’s overall fintech investment, which hit a five-year high of $3.94 billion.