October 10, 2024
By Our Correspondent
StraitsX, a prominent payment institution authorized by the Monetary Authority of Singapore (MAS), has declared the listing of Singapore’s inaugural stablecoin on Bitstamp, aiming to enhance its liquidity and appeal for international transactions. The stablecoin, XSGD, is pegged 1:1 to the Singapore dollar (SGD) and is underpinned by national reserve assets to ensure its stability amid market fluctuations.
Initially launched in the cryptocurrency market in 2020, this digital asset is now accessible on various blockchain networks, including Ethereum, Polygon, and Zilliqa. Recently, it has also been made available on Hedera, a decentralized proof-of-stake (POS) protocol that utilizes the hashgraph consensus mechanism.
Despite its backing from multiple blockchain platforms, XSGD has faced challenges in gaining a foothold in the global market, particularly when competing with leading rivals such as USDT and USDC, which command substantial market shares.
In response to this situation, StraitsX has formed a partnership with Bitstamp to enhance the accessibility of XSGD for users across Asia and beyond. This strategic move aims to position the stablecoin advantageously for worldwide adoption.
The company asserts that XSGD possesses the necessary attributes to compete with established entities like USDT and USDC, citing its “unparalleled transparency and stability for users in global markets.” The firm is optimistic that these characteristics will draw users seeking a dependable stablecoin alternative.
Users of Bitstamp will benefit from various advantages, including lower transaction fees, expedited settlement times, and access to competitive exchange rates for cross-border payments.
“The listing of XSGD on Bitstamp marks a significant milestone in our endeavor to elevate StraitsX’s stablecoins to a global platform. By enhancing liquidity and accessibility, we are facilitating quicker, more transparent, efficient, and cost-effective on-chain cross-border payment processes,” stated Jason Tay, Head of Commercial at StraitsX.
