Stablecoin operator StraitsX is expanding its reach through a new partnership with the crypto credit card payments platform UPay. This agreement will enable its digital assets, specifically the StraitsX USD (XUSD), to be utilized for purchases in physical stores.
StraitsX will integrate its infrastructure into UPay’s payment ecosystem, which already supports services like Google Pay and Apple Pay. This integration aims to broaden the practical applications of StraitsX's stablecoin assets.
This collaboration is significant for StraitsX, given UPay's development of a comprehensive and rapidly growing digital finance platform that encompasses both cryptocurrency and traditional fiat services. UPay's primary offering is its crypto credit card. Similar to other services of this kind, this card allows users to spend cryptocurrency directly at millions of merchants worldwide without the need for prior conversion. Transactions are processed by converting the cryptocurrency into an equivalent amount of fiat currency, which is then directly transferred to the merchant's bank account.
UPay's suite of services also includes crypto loans, where users can deposit their cryptocurrency holdings as collateral to borrow other assets. Additionally, it features a "savings" option that generates interest for users through staking.
StraitsX, based in Singapore, is poised to be a valuable addition to UPay's ecosystem. The company issues XUSD, recognized as one of the most regulated stablecoins globally. XUSD is overseen by the Monetary Authority of Singapore and adheres strictly to local regulations, providing assurance that XUSD maintains a 1:1 peg with the U.S. dollar and is backed by verified holdings of fiat and other liquid assets.
Highlighting the importance of this partnership, UPay Chief Executive Owen Yang stated that it will enhance his company’s capacity to connect the fiat monetary system with the cryptocurrency system. He described the offering not merely as a payment card but as "a passport to the future of global finance, and StraitsX is the cornerstone of that bridge."
Through this collaboration, XUSD will be accessible within UPay's wallet, allowing users to spend it at over 175 million merchants that accept VISA cards. This development enhances XUSD's utility by making it spendable in real-world transactions, in addition to its standing as a reliable stablecoin asset.
StraitsX has recently secured several notable partnerships. Earlier in the month, the company announced collaborations with the ride-sharing and delivery giant Grab and Ant International. In its work with Grab, StraitsX is partnering with GrabPay and Alipay+ to develop a new, low-cost, and instant cross-border settlement service. This service has the potential to integrate XSGD, StraitsX's stablecoin pegged to the Singaporean dollar.
Earlier this year, StraitsX also announced its collaboration with RedotPay to support its initiative with Visa. This initiative involves the planned launch of a new crypto credit card solution in Southeast Asia.
StraitsX co-founder and Head of Partnerships, Tianyao Liu, emphasized that the partnership extends beyond facilitating real-world payments. He noted that it also helps establish the foundation for a system that enables both businesses and consumers to transfer value across borders efficiently and cost-effectively. Liu stated, "We are laying down the tracks for a new financial future, built on trust and seamless accessibility."