IMAGE: StraitsX
Stablecoins are no longer fringe instruments used by crypto traders—they’re fast becoming the foundation of a new financial paradigm.
From solving age-old cross-border settlement inefficiencies to promoting financial inclusion in underbanked regions, stablecoins are now a core focus of forward-thinking regulators and fintechs across the globe.
Deeptech Times sat down with Tianwei Liu, CEO and co-founder of StraitsX, on the sidelines of Money20/20 Asia, to understand how his company is helping to redefine payments infrastructure, and why stablecoins are emerging as a game-changing technology for both everyday consumers and large institutions.
Let’s start from the beginning. What inspired the founding of StraitsX?
My journey into payments began when I returned from the Bay Area to Southeast Asia around 2015. I had been working as a software engineer at Amazon, and before that at a startup acquired by Google.
During the holidays, friends and family would ask me to help them purchase products from the U.S., like discounted Kindle devices. But I quickly realised how broken the payment infrastructure was in our region. There was no PayPal or Venmo-like convenience, no developer-friendly APIs, and no real-time settlement. It was a real contrast to the seamless fintech experience in Silicon Valley.
That led me to start building alternative payment solutions tailored for APAC. StraitsX was created to solve the problem of missing foundational infrastructure. In 2015, we were working with remittance platforms, crowdfunding campaigns, and later crypto exchanges—all of which needed low-cost, bank-transfer based solutions. The lack of real-time, interoperable systems across Southeast Asia made us realise that the next frontier would be cross-border payments.
That sounds like a classic “problem-first” startup. So where do stablecoins come into play?
Around 2019, we started seeing that blockchain, particularly stablecoins, offered a way to leapfrog some of the limitations in traditional systems. The magic lies in how blockchain merges communication and settlement into a single action. In traditional systems, when you tap a Visa card at a coffee shop, the confirmation happens immediately—but actual settlement can take days. That introduces friction, cost and liquidity challenges.
With stablecoins, when I send you money, you receive it instantly, and that’s the final settlement. It’s not just a message; it’s the value itself. That’s a profound shift. You remove the need for intermediaries, reduce costs, and allow for programmable logic to be embedded in transactions. That’s where our stablecoins like XSGD (Singapore dollar-backed) and XUSD (U.S. dollar-backed) come in.
The concept of programmable money has huge implications. Can you give us a real-world example?
One of the most exciting use cases we’ve launched is the partnership with Alipay and Grab. Today, if you’re a tourist from China, Hong Kong or Malaysia visiting Singapore, you can use your Alipay app to scan a GrabPay QR code at a local merchant. What happens behind the scenes is that Alipay purchases XSGD stablecoins and transfers them to the Grab merchant’s wallet. The transaction is settled in real time—there’s no batching, no FX volatility, no delay.
From the user’s perspective, it feels just like a regular QR payment. But behind the scenes, it’s powered entirely by blockchain and stablecoins. This model is already live and approved by the Monetary Authority of Singapore (MAS). That’s a huge vote of confidence.
How are regulators reacting to the rise of stablecoins?
The narrative has definitely changed. A few years ago, most regulators and traditional media viewed crypto with suspicion—fraud, money laundering, you name it. But today, many regulators understand that stablecoins, when issued under a proper framework, can significantly enhance payment efficiency, traceability and compliance.
Singapore, in particular, has been a global leader. MAS has outlined a comprehensive regulatory framework for stablecoins. We’re honoured to be among the first early-compliant stablecoin issuers under this regime. That includes requirements for full backing, monthly attestations, and restrictions on how funds are safeguarded. The goal is to mirror the reliability of e-money in a blockchain-native format.
Speaking of which, how do you see the stablecoin space evolving globally?
We’re moving into a future where every major financial institution will likely issue some form of stablecoin or tokenised deposit. There are three primary models emerging: CBDCs issued by central banks (mainly for wholesale interbank settlements), tokenised bank deposits issued by traditional banks, and e-money backed stablecoins issued by fintechs like us for retail use.
I believe we’ll see all three models co-exist. For example, J.P. Morgan has already launched JPM Coin, a stablecoin backed by its own deposits. That works well for large-scale B2B settlement. On the other end, companies like StraitsX cater to retail-facing and programmable use cases, like tourist payments and e-commerce. What ties it all together is blockchain’s ability to offer transparent, tamper-proof and real-time settlement.
How does the current global environment, especially trade tensions, affect stablecoin adoption?
In the short term, macro uncertainty does cause firms to play more defensively—cutting innovation budgets and focusing on core operations. But in the longer term, I believe it actually accelerates the shift toward regional trade and digital infrastructure.
As trade flows pivot away from the U.S., there’s a growing need for payment solutions that work seamlessly across Asian markets. Stablecoins offer a way to make these flows faster, cheaper, and more secure. Countries like Thailand, Indonesia and Malaysia are now actively exploring how stablecoins can fit into their domestic and cross-border systems. The demand is real.
What’s next for StraitsX?
We’re laser-focused on expanding payment corridors. Singapore is already live with multiple wallet partners able to use XSGD for real-world transactions. Thailand is next—we’re working closely with KBank and other partners to enable both inbound and outbound stablecoin-based payments for tourists and businesses.
We’re also pushing globally. Our XUSD is now listed on Binance, making it one of the first MAS-regulated USD stablecoins to gain global traction. With DBS and Standard Chartered as banking partners, we’re confident this will become a benchmark for secure, trustworthy digital dollars issued out of a neutral jurisdiction like Singapore.
Any final thoughts on what our readers should watch for?
People often ask me when we will achieve “Web3 banking.” My view is: it’s already happening—but quietly, in the background. Consumers won’t even realise they’re using blockchain. Just like you don’t think about TCP/IP when hailing a Grab, you won’t need to understand smart contracts to benefit from programmable money.
What matters is that we reduce the cost of serving the underbanked, improve settlement efficiency, and build systems that are open, auditable and interoperable. Stablecoins, when designed responsibly, can achieve all that.
