Singaporean digital payments provider dtcpay has announced that it will exclusively support stablecoins for its payment services by 2025, dropping Bitcoin and Ethereum.
In a recent one X messagedtcpay has announced that it will strategically shift its support to stablecoins only for all its token payment services starting in January 2025.
Following this transition, the Singaporean payments company will no longer support payments for Bitcoin (BTC) and Ethereum (ETH) starting next year. Despite both BTC and ETH still retaining their place as the two largest cryptocurrencies in terms of market capitalization.
“This means we will gradually phase out support for Bitcoin and Ethereum by the end of this year, all other stablecoin and fiat currency services will remain available,” the company said in a message.
Additionally, dtcpay plans to expand support for more stable coins to its payment services, including First Digital USD(FDUSD) and Worldwide USD, in addition to the currently supported Tether(USDT) and USD Coin(USDC).
The reason behind dtcpay’s transition to a stablecoin-only model is to “provide our customers with a more reliable, scalable and secure payment experience.”
Stablecoins have grown in popularity in many parts of the world for banks and other payment companies due to their value reliability as they are pegged to fiat currency, usually the US dollar.
The company’s shift to stablecoin payments reflects a broader adoption trend underway in Singapore. According to data from Chain analysisstablecoin payments in Singapore have increased to almost $1 billion USD in the second quarter of 2024. Compared to the first quarter of 2024, this value has increased by 100% from almost $500 million.
The report also shows that 75% of payments using Singaporean stablecoin XSGD were worth $1 million or less, while almost 25% of transfers were worth less than $10,000, indicating a growing adoption rate for retail activities.
In November 2023, the Monetary Authority of Singapore released a regulatory framework aimed at improving the stability of single-currency stablecoins. As previously reported by crypto.news, the rules apply to non-bank issuers of single-currency stablecoins pegged to the Singapore dollar or other G10 currencies, if their mintage exceeds S$5 million.
