Singaporean digital payment provider dtcpay announced that it will exclusively support stablecoins for its payment services by 2025, dropping Bitcoin and Ethereum in the process.
In a recent X post, dtcpay announced that it will begin to strategically shift its support to only accommodate stablecoins for all of its token payments services, starting January 2025.
Following this transition, the Singaporean payment firm will no longer support payments for Bitcoin(BTC) and Ethereum(ETH) starting next year. Despite both BTC and ETH still maintaining their spots as the two largest cryptocurrencies by market cap.
“This means we will phase out support for Bitcoin and Ethereum by the end of this year, all other stablecoin & fiat currency services will continue to remain available,” said the firm in a post.
Moreover, dtcpay plans to extend support to more stablecoins to its payments 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, & secure payment experience.”
Stablecoins have grown in popularity for banks and other payment firms in many parts around the world due to their value reliability, as it is pegged to fiat currencies, most often the U.S dollar.
The firm’s shift to stablecoin payments reflect a wider adoption trend going on in Singapore. According to data from Chainalysis, stablecoin payments in Singapore have surged to almost $1 billion USD in the second quarter of 2024. Compared to the first quarter of 2024, this value went up 100% from nearly reaching $500 million.
The report also revealed that 75% of payments that use Singaporean stablecoin XSGD were valued at $1 million or below, with nearly 25% of transfers valued below $10,000, which indicates a growing adoption rate for retail activity.
In November 2023, the Monetary Authority of Singapore released a regulatory framework aimed at enhancing the stability of single-currency stablecoins. As previously reported by crypto.news, the regulations apply to non-bank issuers of single-currency stablecoins linked to the Singapore dollar or other G10 currencies, if their circulation goes over S$5 million.
