TLDR:
- Standard Chartered Bank partners with Singapore-based StraitsX to manage reserves for XUSD and XSGD stablecoins, providing cash management and custody services
- StraitsX’s stablecoins are fully backed and comply with upcoming MAS regulatory framework for stablecoins in Singapore
- Partnership aims to strengthen payment infrastructure and provide secure access to XUSD and XSGD for businesses and individuals
- Standard Chartered will serve as one of StraitsX’s trusted banking partners, enhancing stablecoin security and reliability
- Collaboration represents growing integration of traditional banking with blockchain-based assets
Standard Chartered Bank has announced a strategic partnership with StraitsX, a Singapore-licensed stablecoin issuer, to manage reserves for their U.S. Dollar and Singapore Dollar stablecoins. The collaboration, revealed on February 18, 2025, establishes Standard Chartered as one of StraitsX’s trusted banking partners.
Under the new agreement, Standard Chartered will provide cash management and custody services for the reserve assets that back StraitsX’s stablecoins, known as XUSD and XSGD. These services aim to strengthen the payment infrastructure and enable secure access to the stablecoins for both businesses and individuals.
The partnership comes as StraitsX prepares to align with the Monetary Authority of Singapore’s (MAS) upcoming stablecoin regulatory framework. Both XUSD and XSGD are fully backed stablecoins, meaning they maintain a 1:1 ratio with their respective fiat currencies through reserve assets.
Jason Tay, Head of Commercial at StraitsX, emphasized the importance of trust and regulatory compliance in digital asset adoption.
“Our collaboration with Standard Chartered marks a step in enhancing the security and resilience of our stablecoin ecosystem,” said Tay.
He added that the partnership would provide businesses and financial institutions with a regulated bridge into digital assets.
Standard Chartered brings its global banking expertise to the partnership, offering established cash management systems and custody services. These capabilities will support the growth of the digital asset ecosystem while maintaining compliance with Singapore’s regulatory requirements.
Luke Boland, Head of Fintech, Asia at Standard Chartered Bank, highlighted the bank’s commitment to digital assets.
“This partnership expands Standard Chartered’s involvement across the digital asset ecosystem,” said Boland.
He noted that the bank views digital assets as a permanent part of the future of financial services.
The collaboration aims to create more efficient and accessible digital payment solutions. By combining blockchain technology with traditional banking infrastructure, the partnership seeks to improve cross-border transactions and payment systems.
StraitsX operates as a Major Payment Institution licensed by the Monetary Authority of Singapore. The company focuses on payment infrastructure and uses blockchain technology to promote financial inclusion and payment interoperability.
Standard Chartered’s involvement provides additional credibility to the stablecoin sector. The bank’s presence in 53 markets and its 160-year history bring institutional expertise to the digital asset space.
Blockchain Acceptance
The partnership reflects the growing acceptance of blockchain-based financial tools by traditional banks. As digital assets become more mainstream, established financial institutions are actively participating in their development and integration.
The collaboration will focus on building essential payment infrastructure that connects traditional finance with digital innovations. This includes developing systems for fund management, stablecoin integration, and cross-border transactions.
Standard Chartered’s role includes ensuring the security and transparency of the reserve assets backing the stablecoins. This oversight helps maintain the stability and reliability of XUSD and XSGD.
The partnership addresses the increasing demand for digital payment solutions that meet regulatory requirements. By working within Singapore’s regulatory framework, the collaboration sets standards for responsible digital asset adoption.
The collaboration positions both companies to participate in the growing digital asset market while maintaining compliance with regulatory requirements. Their joint efforts focus on creating secure, efficient, and accessible digital payment solutions.
