Singapore’s reputation as a safe port for wealthy mainland Chinese families is declining, reversing influx that cost rival wealth hubs like Hong Kong and Japan. The appeal of China’s wealthy people has skyrocketed after a wave of democratic protests in Hong Kong led to austerity caused by Beijing and the introduction of national security laws next year. These events have led Hong Kong mainland Chinese families to seek distance from Beijing’s grip. Political stability, a lucrative family specialist regime, independent courts, and the flow ency of the Mandarins has made Singapore a natural draw for China’s super wealth. The culprit was called the “Fujian Case” in which the culprit was welcomed after the $3 billion Singaporean dollar ($2.3 billion) money laundering scandal in 2023. “When the Fujian news broke, many of these wealthy Chinese people left. So literally, almost all… they go to Hong Kong in the Middle East,” said Ryan Lin, director of Bayfront Law in Singapore. Since then, its departure has accelerated. Multiple tiers of checks now have 50% less applications from mainland clients compared to 2022, particularly due to compliance checks and other new regulations in place, thus denying or processing applications from wealthy Chinese people seeking to live in Singapore. From their perspective, (wealthy mainland clients) think: Do I really need to declare my non-gi son just because I want to manage my wealth in Singapore? The financial authorities at Bayfront Law Director Ryan Lynn Singapore (MAS) have the driving force behind strengthening compliance, particularly around crypto, and are even more calmly interested in those who have found wealth in this particular space. In 2025, Singapore introduced a platform operated in Singapore and obtained a license to provide products such as cryptocurrency, stablecoins and tokenized stocks to customers outside the city state. The Singapore central bank will, while acceptance approvals are rare, imposing sudden compliance costs, including a minimum capital requirement of $250,000, in addition to strict money laundering, technology risks and implementation rules. Crypto companies that serve customers in Singapore are already regulated under existing laws. “So, especially those in the crypto space, everything’s gone because of this particular law by MAS,” Lynn said. “It’s already very difficult to apply for a license in Singapore, and we’re going to announce another law that even targets services to people outside of Singapore. “I think (Exodus) is still very driven by regulations. So, as regulations become more strict, these Chinese people just say. In response to a CNBC question, Singapore’s MAS said that money laundering cases have not changed their position on regulatory standards. “Singapore welcomes legitimate wealth. Mas is working with Singapore’s financial institutions to improve its practices to be sound, effective and efficient,” a spokesman for MAS said. Fallout from Singapore’s money laundering scandal and famous code failures like the Three-Arrow Capital and FTX caused an aggressive compliance push in 2024. Banks and financial institutions have wiped out the “cleanup.” Redo the Knowledge (KYC) check, rescreen Family Office applications, and in some cases close your account completely. This left many wealthy Chinese clients in Limbo and were unable to access or open new accounts. “A year later, I destroyed some of my clients’ patience and confidence. “If you don’t give them an account, where are they going to do business?” Xu said. Their perspective, they think: Do I really declare an illegal son just because I want to manage my wealth in Singapore? ” he told CNBC. Similarly, Carman Chan, founder of Click Ventures, a fellow family office who founded the Singapore business, has taken office in Hong Kong and cites the challenges of winning cities in cities to win cities. Qualifications for the tax-free scheme must hire a minimum number of investment professionals in Singapore who must have taxable income for small costumes. Chan said it took CYC over a year, with some investors taking relatively more than a year. In the morning, I will be with my partner at Pandan Investment. Instead of proving that they have held $30 million in assets for two years earlier this year, they can count the wealth owned by their family or invest through family-owned businesses. They had forgotten why they came to Singapore in the first place,” said Bayfront Law Lynn. Beyond regulations, soft factors like lifestyle differences play a role, especially for young and rich people. Christopher AW, a partner at Pandan Investments, also noted that several wealthy Chinese colleagues in Singapore have moved to Dubai and Hong Kong. Singapore was a hub that was “booming” in privacy and flexibility elsewhere, but “it’s now “chilled,” said Xu of Jenga.
