TAIPEI (Taiwan News) — Standard Chartered said Wednesday that Taiwan has operational advantages for stablecoin development as global adoption of digital assets accelerates.
The bank said Taiwan’s development trajectory resembles that of regional financial hubs such as Singapore and Hong Kong, per CNA. Stablecoins are a cryptocurrency designed to maintain a stable value by being pegged to assets such as fiat currencies. This allows them to be used for payments with lower volatility than other digital tokens.
Standard Chartered cited international research showing the global stablecoin market surpassed NT$10 trillion (US$320 billion) in issuance. Total stablecoin transaction volume exceeded NT$877.86 trillion in Q1, setting a record high.
The bank said more than 98% of stablecoin market capitalization remains tied to the US dollar, despite the dollar accounting for only about half of global cross-border payments. This suggests significant room for growth in non-USD stablecoins, it said.
The bank added that demand for non-dollar stablecoins is likely to rise as global trade becomes multi-currency. It identified infrastructure efficiency and regional trade activity as key drivers of expansion.
Standard Chartered corporate and investment banking division head Chu Chia-ling (朱佳玲) said stablecoins are designed to complement rather than replace traditional payment systems, offering businesses more flexibility, per UDN.
She said Taiwan’s role in global supply chains and expanding overseas business networks is driving demand for faster cross-border fund management. She added that Taiwan’s clearer regulatory framework could help integrate the country more deeply into the global digital finance system.
