Crypto wave is catching on in Asia as businesses warm up to stablecoins

Businesses across Asia are increasingly warming up to stablecoins for cross-border transactions — a trend set to accelerate further as Hong Kong moves to legalize the use of digital tokens, experts told CNBC. From online travel agencies and luxury goods resellers to high-end hotels, companies are embracing stablecoin for payments, citing both speed and cost-efficiency compared to the traditional financial system. Stablecoins are cryptocurrencies usually pegged to sovereign currencies or even gold, making them more stable compared to other crypto assets. Hong Kong’s new legislation , set to take effect Friday, will formalize the framework for financial firms to issue and manage these virtual assets, similar to the U.S. GENIUS Act . Cryptocurrency wallet platforms allow customers to pay via digital currencies, which are then converted into stablecoins or local fiat currencies while being credited to merchants, minimizing price volatility and settlement risk for businesses, according to several crypto industry veterans and business owners. Monthly stablecoin transaction volumes between businesses had surged to more than $3 billion by early 2025, from under $100 million at the start of 2023, according to a report by blockchain analytics firm Artemis from May. The report was based on a survey of 31 stablecoin-based payment firms that process transactions on behalf of end users globally. Unlike conventional cross-border bank transfers that can take several days and incur steep processing fees, stablecoin transactions are nearly instantaneous and substantially cheaper, experts pointed out. “What blockchain is able do is to facilitate transactions between parties with less counterparty risks,” said Ben El-Baz, head of global expansion at cryptocurrency exchange Hashkey Global. Blockchain is a technology used for keeping account of crypto transactions. “For cross-border payments, instead of having to go from originating bank to intermediary to correspondent bank, then down to the beneficiary … stablecoins transferred via blockchain are basically an exchange of value that happens instantaneously,” he added. That has attracted the interest of major payment processors such as Visa , Mastercard , and Stripe , all of which have begun integrating stablecoin support into their payment infrastructure. The momentum has been further fueled by the regulatory development in the U.S. in the past two months. The listing of USD Coin-issuer Circle in June along with President Donald Trump’s GENIUS Act have sparked broader interest in digital payments across Asia. “Stablecoin has surely emerged as a supplementary currency to the conventional fiat currencies,” said Alice Liu, founder and CEO of dtcpay. The Singapore-based fintech company helps clients process stablecoin payments and convert them into fiat currencies. Dtcpay’s clients include Chinese businesses with legal entities in Singapore and Hong Kong to settle stablecoin payments into preferred currencies, often U.S. dollar, Singapore dollar or Chinese offshore yuan. Travel, luxury handbags, high-end hotel Singapore-based travel agency Wetrip, which specializes in organizing group tours to China, began accepting stablecoin payments in June. It accepts them via digital wallets such as the one offered by the world’s top crypto exchange, Coinbase, lured by faster settlement and significant cost savings. “The lengthy processing period and hefty transaction fees with traditional banking network were real pain points,” Vincent Xue, the company’s founder and CEO, told CNBC. He added that if his suppliers were to start accepting stablecoin, he would not need to convert them back into local fiat money, allowing his entire payment stack to operate fully on blockchain. Global stablecoin payment volumes hit $94.2 billion over the two years ending February, with business-to-business transactions accounting for one third of the flows, according to Artemis. Stablecoin payments by consumers directly to businesses are also on the rise, climbing to over $300 million a month early this year from just $50 million in early 2023. Singapore and Hong Kong were among the top three markets for stablecoin flows, just following the U.S. The Singapore-China route, in particular, emerged as the busiest for stablecoin flows, the report said, while the next seven largest corridors all involved the U.S. Among retailers, many luxury businesses are embracing blockchain payments, with more high-end brands adopting stablecoin-to-fiat transactions for high-value purchases, citing speed, higher upper limits on transaction value as key advantages. Capella Hotel, a Singapore-based high-end hotel group, started allowing guests to complete transactions using digital currencies in October last year, due to “growing…