Singapore stablecoin issuer offers tips for Hong Kong counterparts
Compliance and strong banking relationships are key, says the CEO of StraitsX, issuer of XSGD
The issuer of XSGD – the only Singapore dollar-backed stablecoin and one of the world’s major non-US dollar stablecoins – said its commitment to strict regulatory compliance and emphasis on cross-border payments could serve as a model for stablecoin issuers in Hong Kong.
In an interview with the South China Morning Post on Thursday in Singapore, CEO Liu Tianwei said StraitsX was working with regulators and traditional financial institutions to support cross-border payments – an approach that may provide insights for future Hong Kong stablecoin issuers.
Liu said that stablecoin issuers needed to establish “very strong banking relationships”, as tokens still required the backing of traditional banking systems and payment networks to reach clients and facilitate redemptions.