Non-USD stablecoins have huge potential! Standard Chartered executive: Taiwan has a solid foundation, what are our advantages

Standard Chartered is bullish on the potential of non-USD stablecoins. Executives noted that Taiwan, as a key global supply-chain hub, has strong cross-border settlement needs, earning high marks for the development potential of local stablecoins. As regulations become clearer step by step, Taiwan is expected to deepen digital settlement and improve capital allocation efficiency.

Standard Chartered’s latest report: Huge growth potential for non-USD stablecoins

Standard Chartered Bank has recently released its latest global stablecoin research report, stating that the global stablecoin issuance scale has already surpassed 320 billion USD. In the first quarter of 2026, total stablecoin trading volume further exceeded 28 trillion USD, reaching a quarterly record high.

The report notes that stablecoins are rapidly transforming from mere crypto-asset trading tools into a new form of settlement tool for enterprise cross-border payments and capital management. At the same time, however, structural and diverse gaps are also emerging:

Currently, USD stablecoins account for more than 98% of the total market value, but the USD’s share in traditional global cross-border payment systems is roughly 50%, and its participation in global foreign exchange trading is about 89%. The gap of as much as 48 percentage points shows that the stablecoin market is far more concentrated than the underlying global trade and payment systems—while also highlighting the tremendous expansion space that “non-USD stablecoins” have in the future.

Three key factors driving demand for non-USD stablecoins

The report further analyzes three structural factors driving demand for non-USD stablecoins:

1. Accessibility: In regions where banking systems are less developed or cross-border account access is limited, stablecoins can serve as digital substitutes to address problems such as constrained infrastructure or mismatches in banking hours.
2. Speed: Traditional banking systems often cannot achieve real-time settlement. Stablecoins have a 24/7 availability characteristic, which can significantly reduce liquidity frictions across time zones and lower hedging costs.
3. Stability: If enterprises trade in more volatile currencies, fast settlement can shorten the exposure time window. As long as non-USD stablecoins are more stable than the alternative currencies in neighboring countries, they may have the opportunity to be adopted in regional trade.

The report emphasizes that currency diversification will become a structural trend. Reducing reliance on a single currency in moderation can create meaningful market depth in specific currencies.

Taiwan’s local stablecoin demand potential score nears Singapore and Hong Kong

Standard Chartered also combined data from the World Bank’s 2025 Business Environment Maturity assessment to build an analytical framework covering indicators such as the efficiency gap in financial services operations, efficiency gaps in international trade, and regulatory clarity, thereby assessing each market’s potential demand for local currency stablecoins.

In the “Ranking of Potential Demand for Local Currency Stablecoins” listed by Standard Chartered, Taiwan’s overall average score is 47.8. The scores for the various evaluation indicators include 74.8 for other operating efficiency indicators, 69.4 for regulatory clarity, 26.9 for the reverse score of financial services operating efficiency, and 20.0 for the reverse score of international trade operating efficiency.

Figure source: Standard Chartered report; Standard Chartered stablecoin report mentions the “Ranking of potential demand for local currency stablecoins”

Standard Chartered points out that Taiwan’s stablecoin development trend overall is close to that of international financial centers—for example, Singapore scores 47.8 in total, and Hong Kong is 47.9. Taiwan has relative advantages in indicators such as operating conditions and the clarity of the regulatory framework, reflecting a solid foundation for the financial system and market stability.

Meanwhile, among those with higher overall scores, many are located in countries and regions where financial infrastructure is still not mature, or where infrastructure is more advanced—for instance, Ivory Coast in West Africa has a score as high as 68.4, Indonesia in Southeast Asia has 58.4, and El Salvador—actively adopting Bitcoin—has 52.3.

Standard Chartered views Taiwan’s stablecoin development foundation positively

Regarding Taiwan’s foundation and advantages in stablecoins, Zhu Jialing, head of the Corporate Banking and Investment Banking business division at Standard Chartered, further stated to the Economic Daily that, as a key role in the global supply chain, Taiwan plays an important influence in regional and cross-border industry networks.

As Taiwan’s companies’ demand for cross-border capital management and settlement efficiency continues to rise, more mature conditions are being created for the application and deepening of digital settlement solutions.

Zhu Jialing said that Taiwanese companies have highly internationalized operating characteristics, and their supply-chain and investment layouts are becoming increasingly diverse. By combining the stability of fiat currencies with the efficiency of blockchain settlement, stablecoins can support fast cross-border settlement through on-chain payments.

For enterprises and financial institutions that operate across time zones, digital settlement tools will help reduce barriers to capital liquidity. In the future, when handling multi-currency transactions, companies may directly complete capital allocation through digital settlement tools, thereby improving operational capital efficiency.

The Financial Supervisory Commission has also recently disclosed that some Taiwan-based businesses have adopted stablecoins for receiving and making payments; and an important draft law—the Virtual Asset Service Law—is also been submitted to the Legislative Yuan for review. Zhu Jialing believes that as the regulatory and legal framework becomes clearer step by step, Taiwan may gradually connect with the global digital financial system in the future, creating a positive cycle for companies’ funds and innovation-driven momentum.

Further reading:
Does the draft Virtual Asset Service Law have as many as five versions? Financial Supervisory Commission report: Stablecoin reserves and interest are the focus 2026 latest》Virtual Asset Service Law draft quick guide: Full breakdown of stablecoins, licenses, and penalties