From June 1, websites which have more than 50,000 unique visitors from Singapore every month and publish at least one local news article a week must obtain an annual licence from the Media Development Authority (MDA).
Websites granted a licence will have to remove "prohibited content" such as articles that undermine "racial or religious harmony" within 24 hours of being notified by the authority, the MDA said in a statement.
"This will place them on a more consistent regulatory framework with traditional news platforms which are already individually licensed," it said.
It has also become a magnet for strident anti-government and anti-foreigner comments posted by readers in reaction to some news stories.
The MDA said it expected "no change in content standards" since websites must already comply with content restrictions under current regulations.
Licensed websites will have to put up a sum of SgD50,000 (USD 39,500) as a "performance bond" similar to what is required of smaller broadcasters.
Industry sources told AFP the bond can be forfeited if a media company refuses to comply with regulations and MDA directives.
The other nine belong to local media companies Singapore Press Holdings and Mediacorp.
"We are not in a position to respond until we receive the actual licence conditions for review," Alan Soon, the "country ambassador" for Yahoo! Singapore, told AFP when asked for comment.
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