Siam Commercial Bank launches Thailand’s first stablecoin cross-border payment system

Siam Commercial Bank introduced Thailand’s first stablecoin-supported cross-border payment system.

According to a statement made by the company, by partnering with SCB 10X and Lightnet, the bank will use stablecoins, which are digital assets pegged to gold or the US dollar, to facilitate faster, more efficient international transactions.

This solution is built on a public blockchain network where Fireblocks provides high-end custody technology to ensure asset security. The new payment system enables 24/7 cross-border transactions, improving capital efficiency and reducing operational costs by reducing the need for banks to maintain pre-funded accounts with foreign partners.

According to Nikkei, the service offers customers a faster and more cost-effective way to send and receive money internationally by eliminating layers of customs clearance and currency conversion. Users can transact using their local currency, further simplifying the process.

Thailand’s regulatory sandbox

In August, Thai financial regulators launched the Digital Asset Regulatory Sandbox to encourage cryptocurrency adoption in the country. The initiative, backed by a public hearing in May, allowed participants to test crypto services under flexible regulations to help develop Thailand’s digital asset market.

This SCB stablecoin project successfully graduated from the Bank of Thailand’s regulatory sandbox in October 2024, according to the statement, and is now fully commercialized. It sets a new standard for the use of blockchain technology in the financial sector and strengthens SCB’s leading position in digital banking.