Asian Banks Gear Up for Stablecoin Era Amid Rising Adoption

Stablecoins are entering a new phase, driven by real-world adoption and utility at scale. With over $33 trillion in on-chain transaction volumes by the end of 2025, these assets are gaining traction for payments and settlement. While Asia accounts for approximately 60% of payment volumes, cross-border payments remain fragmented across the continent.

The passage of the GENIUS Act in July 2025 established a regulatory framework for stablecoins in the US, including requirements for reserves, redemption, supervision, and compliance. However, local regulations vary across Asia, posing infrastructural challenges for banks to connect with digital asset infrastructure.

Digitally native banks are well-positioned to capitalize on this opportunity by bringing digital assets into trusted mass-market user environments. As the next phase of digital banking focuses on cross-border use cases, stablecoins will play a crucial role in simplifying transactions and reducing reliance on traditional correspondent banking networks.