Paxos, a crypto infrastructure firm, has received preliminary approval from the Monetary Authority of Singapore (MAS) to launch a US dollar-pegged stablecoin in Singapore on November 14.

The stablecoin, which does not yet have a specific name or detailed features, will be backed by the U.S. dollar and issued by Paxos's new Singapore entity.

The company announced plans to collaborate with enterprise clients to launch the new product in the country.

MAS finalized its regulatory framework for stablecoins in August, which applies to stablecoins pegged to the Singaporean dollar or any G10 currency, including the U.S. dollar. Crypto firms seeking to label their stablecoins as "MAS regulated stablecoins" must adhere to this framework.

Singapore has been actively positioning itself as a digital asset leader, with MAS introducing industry pilots under Project Guardian to explore various use cases around asset tokenisation earlier this week.

These efforts aim to drive institutional adoption of digital assets, enhance liquidity, unlock investment opportunities, and improve financial market efficiency.

Singapore's clear regulatory framework is making it an increasingly attractive hub for blockchain companies.

In a related development, Standard Chartered's venture arm recently launched a blockchain unit in Singapore to tokenise traditional financial instruments, partnering with FundBridge Capital to create the first tokenised Singapore-Dollar Government Bond Fund for professional investors.