Thailand’s Siam Commercial Bank (SCB) has partnered with SCB 10X and Lightnet to launch the first cross-border payment using stablecoins in the country. The new solution, designed to provide a simple and fast cross-border payment solution using stablecoins and public blockchain, is seen as a significant leap forward in modernizing cross-border payments.
Stablecoins, digital assets pegged to the U.S. dollar or gold, are designed to make cross-border transactions faster, more efficient, and cost-effective. The service is available at any time of the day, allowing clients to send and receive payments at any moment, and since users can transact using local currencies, the stablecoin system makes it easier to convert between the digital asset and the local currency, making the transaction seamless.
The initiative removes the requirement of pre-funded accounts between financial partners, enhancing capital utilization while cutting on expenses. Security is a key element of this new payment solution, with Fireblocks offering the required custody solutions to secure the digital assets. Fireblocks’ custody technology ensures that the assets being traded are well protected and there is little chance of the assets being stolen or lost.
The stablecoin remittance project is among the first to complete the Bank of Thailand’s (BOT) regulatory sandbox, which ended in October 2024. Following the system’s successful launch for retail users, SCB and Lightnet are now preparing to expand the service to corporate clients, offering businesses the same advantages currently enjoyed by individual customers, including lower transaction costs, faster payments, and 24/7 availability.
