PARTNER CONTENT
By Mārtiņš Beņķītis, Co-founder & CEO, Gravity Team
In Southeast Asia, stablecoins are no longer just crypto tools; they’re becoming economic lifelines. As macro pressures, limited banking infrastructure and cross-border demand reshape how money moves, stablecoins like USDT and USDC are increasingly powering remittances, purchases, savings, and payroll across the region.
The Philippines, Vietnam and Indonesia lead this transformation. Over 20% of residents in some markets now hold crypto, driven by necessity and innovation. They’re using stablecoins not just to speculate, but to preserve value, send money home and avoid punishing remittance fees. In these contexts, the ability to hold digital dollars and transact instantly is more than a technical upgrade; it’s a real-world financial solution.
Why stablecoins matter in emerging markets
Stablecoins thrive where traditional finance struggles. In many Southeast Asian countries, high inflation, currency depreciation and underbanked populations have pushed consumers toward alternatives. Unlike volatile cryptocurrencies, stablecoins maintain a peg to the U.S. dollar, offering both accessibility and familiarity.
This mirrors Latin America and Africa trends, where stablecoins dominate transaction volumes. According to Bastion Research, they account for up to 80% of crypto use in high-inflation economies. The World Bank estimates average remittance fees at 8.3% globally. In contrast, stablecoin transfers cost less than 0.1%, a radical efficiency improvement that makes a material difference for migrant workers and their families.
Chainalysis has noted that in Southeast Asia’s remittance-dependent countries, like the Philippines and Cambodia, stablecoins are fast becoming the preferred vehicle for sending and receiving money. In these corridors, digital assets are rapidly outpacing cash and legacy systems.
Real use cases: Everyday utility, not just hype
The reality of stablecoin adoption goes far beyond headlines. It’s happening at street level.
- Remittances: A Filipino nurse in Singapore can now send USDC home in minutes, avoiding high fees from money transfer operators.
- Merchant Payments: Singapore’s Grab now allows stablecoin top-ups, users can pay for food, rides and deliveries in digital dollars. Singaporean merchants reportedly received nearly $1bn in crypto payments in Q2 2024.
- Savings: In volatile economies, people use stablecoins to protect against local currency depreciation, converting salaries to digital USD equivalents for short-term security.
- Payroll: Startups and SMEs are paying remote workers in stablecoins, skipping costly wire transfers. Over 56% of APAC institutions are now integrating stablecoins into operations. In Southeast Asia’s gig economy, with over 77 million freelancers, this is especially powerful.
For many, stablecoins serve as both a store of value and a medium of exchange. And yet, for this financial shift to scale, something else must be in place: deep, reliable liquidity.
The infrastructure behind the peg: Why liquidity matters
Stablecoins work best when they behave like cash. That means users expect 1 USDC to equal $1. But in thin or illiquid markets, stablecoins can diverge from their peg. Bid-ask spreads widen. Price impact grows. Slippage increases. The result? A stablecoin might trade at $0.97, not ideal for a remittance or payroll recipient expecting $1.
Liquidity depth is essential. Without it, stablecoins become unreliable for payments, especially at scale. This is particularly true in emerging market exchanges, where infrastructure and market connectivity are still in the process of development.
Professional market makers fill this gap. By injecting capital, providing continuous quotes and arbitraging discrepancies, they stabilise the trading environment, enabling stablecoins to function as intended.
From speculative asset to financial backbone
As Gravity Team, a crypto market maker active in Southeast Asia, I see stablecoins transitioning from speculative assets into foundational infrastructure. In a few short years, they’ve evolved from trading tools into full-fledged payment solutions used by millions, many of whom may never realise they’re interacting with blockchain under the hood.
But for this system to thrive, several conditions must be met:
- Deep liquidity on local and global exchanges
- Fair spreads and execution depth at all times of day
- Efficient fiat on and off-ramps
- Regulatory clarity and support
- Seamless UX for mainstream users and businesses
Encouragingly, progress is underway. Singapore has introduced a regulatory framework for stablecoins. Institutions are running stablecoin pilots. Market makers are investing in liquidity infrastructure across underserved venues.
The payoff is significant. Stablecoins can unlock fast, cheap and stable financial access for millions across Southeast Asia, no bank required. From remittances and groceries to payroll and trade settlements, the future of money may well be a token.
As infrastructure continues to mature, stablecoins are no longer just a crypto innovation.
They are, and increasingly will be, real financial tools for real people.
Mārtiņš Beņķītis, Co-founder & CEO, Gravity Team – Mārtiņš Beņķītis is a seasoned leader with a strong foundation in international business management. As Co-Founder and CEO of Gravity Team since 2017, Mārtiņš has been the driving force behind the company’s success as a top-tier crypto market maker and liquidity provider. His business acumen and strategic vision have been instrumental in securing partnerships with major global exchanges and top 10 cryptocurrencies, positioning Gravity Team as a trusted player in the industry, especially those aiming to penetrate emerging markets. Mārtiņš excels at forging strong relationships and navigating complex market dynamics, ensuring the firm’s continued growth and influence across the global crypto landscape.
