- By 2025, Singapore’s DTCpay is expected to embrace stablecoins in place of Bitcoin and Ethereum, following the global trend in stablecoin adoption.
DTCpay, a cryptocurrency payment company based in Singapore, plans to phase out transactions involving Bitcoin (BTC) and Ethereum (ETH) by the end of 2024 and switch completely to stablecoins by January 2025.
The Main Factors That Led Dtcpay to Switch to Stablecoins
According to the company’s release, users looking for consistency in digital payments have faced difficulties as a result of Bitcoin and Ethereum’s price swings.
With more support for FDUSD (First Digital USD) and WUSD (Worldwide USD) in the horizon, the company intends to focus its offers on stablecoins like USDT (Tether) and USDC (USD Coin).
Because they guarantee constant value and are based on fiat currencies like the US dollar, these stablecoins are a sensible substitute for institutional and retail consumers.
A larger trend in digital payments is reflected in this decision. The use of stablecoins has increased dramatically in Singapore, where in Q2 2024, transaction volumes almost doubled to $1 billion.
These assets’ reliability has led to their growing popularity for routine, small-scale transactions, which account for the majority of the retail market.
Singapore’s regulatory developments have reinforced this change even more.
To improve the stability of single-currency stablecoins, especially those tethered to the Singapore dollar or other G10 currencies, the Monetary Authority of Singapore (MAS) unveiled a framework in late 2023.
The acceptance of stablecoins is facilitated by these advancements
Promoting Stablecoin Adoption in Singapore’s Payment Ecosystem DTCpay’s move to stablecoins is in line with its goal of making payment systems more scalable and interoperable.
The company intends to combine WUSD, which is based on the US dollar, with FDUSD, which runs on Ethereum and Binance-backed BNB Chain, as part of this shift.
This change follows relationships with significant organizations such as Pontiac Land and the acquisition of a payment institution license from MAS in 2022.
Singapore is not the only place where stablecoins are popular. Their use is expanding globally, particularly in the banking industries of Asia, the Middle East, and Europe.
In addition, OKX has introduced Singapore dollar fast deposits and withdrawals.
Stablecoins are becoming more and more popular in Singapore’s financial scene, as seen by the Singapore Gulf Bank’s ambitions to fund $50 million to buy a stablecoin payments startup.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
