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Coinbase announced today a strategic partnership with StraitsX, issuer of Singapore dollar-backed stablecoin XSGD, in a collaboration that will bring XSGD to Coinbase users globally.
The partnership will see XSGD available on both Coinbase and Coinbase Advanced starting October 1st, at 10:00 AM Singapore time. StraitsX operates as a stablecoin issuer in Singapore and issues XSGD and XUSD. XSGD has been acknowledged by the Monetary Authority of Singapore (MAS) to be compliant with the upcoming Single Currency Stablecoin (SCS) regulatory framework.
This initiative brings faster and cheaper local and cross-border payments for Singaporeans, offering a seamless one-to-one conversion between the Singapore dollar (SGD) and XSGD. By providing an alternative to USD-based stablecoins, XSGD aims to mitigate currency risk and foreign exchange volatility, thereby fostering greater financial inclusion and strengthening the local economy.
The collaboration will also see the issuance of XSGD on Base, the low-cost Ethereum Layer 2 chain incubated by Coinbase. This will enable on-chain foreign exchange transactions in a decentralized, frictionless, and cost-efficient manner. A key feature of this rollout will be the launch of an XSGD/USDC pool on Aerodrome, the central liquidity hub on the Base network, with liquidity incentives to drive adoption.
According to an announcement shared with Blockhead, the companies believe that launching on Base "will unlock a series of exciting use cases for Base users and builders in their local currency, including enabling AI agents to interact seamlessly on the blockchain, purchasing digital art and acquiring ‘real-world assets’ such as collectible items linked to NFTs, and powering on-chain FX transactions that are permissionless and available 24/7."
Hassan Ahmed, country director of Coinbase Singapore, stated, "With XSGD live on Coinbase Singapore, we're one step closer to making local and cross-border payments instant and accessible to everyone with a phone and wallet."
Tianwei Liu, CEO and co-founder of StraitsX, echoed this sentiment, adding, "By enabling seamless, direct access to local currency stablecoins, we are breaking down the USD-centric barriers that have long limited on-chain FX markets."
Both Coinbase and StraitsX are licensed as Major Payment Institutions (MPIs) in Singapore. This collaboration is indication of Coinbase's continued commitment to expanding its footprint in the APAC region.
This story has been updated to reflect that the release of XSGD on Coinbase has been pushed back from its original timing to October 1st, at 10:00 AM Singapore time. This timing is final and confirmed by Coinbase.
