Singapore legislation

Regulation 18B

of Payment Services Regulations 2019

Regulation 18B

Customer assets received by licensee providing digital payment token service

Subregulation 1

A licensee that provides a digital payment token service must ensure that no later than the next business day after any assets belonging to a customer are received from, or on account of, the customer, the assets are —

(a)

deposited in a trust account maintained by the licensee with any person (called in regulations 18C, 18D and 18F the safeguarding person) or by the licensee itself; or

(b)

returned to the customer.

Subregulation 2

A trust account mentioned in paragraph (1)(a) —

(a)

must be designated as a trust account, or a customer’s or customers’ account; and

(b)

must be distinguishable and maintained separately from any other account in which the licensee deposits its own assets.

Subregulation 3

All assets deposited in a trust account mentioned in paragraph (1)(a) —

(a)

cannot be used for the payment of the debts of the licensee; and

(b)

are not liable to be taken under or pursuant to an enforcement order or a process of any court.

Subregulation 4

Nothing in paragraph (2) and regulations 18C, 18D and 18E is to be construed as avoiding or affecting any lawful claim or lien which any person has in respect of any assets held in a trust account mentioned in paragraph (1)(a).

Read in full context — Payment Services Regulations 2019 →