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The Kaia Summit, a key event preceding TOKEN2049, brought together industry leaders who asserted that the Asia-Pacific region is set to lead the next wave of stablecoin adoption. Discussions throughout the summit focused on real-world utility, investment in infrastructure, and the challenges that must be overcome to achieve mainstream use.
Focus on Real-World Utility
Multiple panels detailed the tangible applications of stablecoins across the region.
- Young Kim of Open Asset pointed to the retail market in South Korea as a key area of growth.
- For Indonesia, Nathanael Christian from IDRX Stablecoin identified remittances as a primary use case and revealed plans to allow government bond purchases through its Rupiah-based stablecoin.
- Ploy Boonyavee of Tether Asia noted a recent Thai government initiative to allow tourists to make payments with stablecoins.
“Eventually regulators will see [stablecoins] as a new money or money transfer system,” said Luke Han of Taiwan Mobile, summarizing the sentiment on the technology’s potential.
Investors Bet on Infrastructure and Local Stablecoins
While global stablecoins like USDT remain dominant, investors see significant potential in local currencies.
- A panel that included representatives from Spartan Group and Galaxy APAC concluded that there is a major opportunity in regional stablecoins.
- They framed these local assets as “an addition rather than replacement of USDT or USDC.”
Such sentiment aligns with a broader investor focus on building out core infrastructure, with a clear message from capital providers that they are backing the development of stablecoin “rails” to support the ecosystem.
Regulation and Usability Identified as Key Hurdles
Speakers also addressed the primary obstacles to mass adoption.
- Panelists identified fragmented rules and regulations as a significant challenge that requires the industry to work closely with regulators.
- Despite these hurdles, speakers acknowledged significant regulatory progress in key Asian markets.
- Recent advancements include Japan’s framework for yen-backed stablecoins, new standards from the Monetary Authority of Singapore (MAS), and Hong Kong’s introduction of a Stablecoin Ordinance.
Beyond regulation, Eric Song of Oobit described a fundamental mismatch in the market: “Places with users don’t have the infrastructure. Places with infrastructure don’t have the users.”
The key to unlocking the mass market, according to Jonathan Low of BipTap, is simplicity. He argued that the industry must prioritize “ease of use” over the creation of new, complex blockchains.
Solutions Focus on Integration and Simplicity
Solutions to these challenges were a central theme:
- Jonathan Chan of RedotPay promoted crypto cards as a vital tool to bring stablecoin remittance to a wider audience.
- Pakning Luk of Bitget Wallet suggested the most beneficial path is for merchants to accept stablecoins through existing national QR code frameworks, which would eliminate the need for currency conversion.
In his closing remarks, Sangmin Seo of Kaia recapped the day’s discussions. He stated that the Kaia network is building an “orchestration layer” designed to connect different national stablecoins and enable seamless regional collaboration.
To support this vision, the foundation is actively fostering development, recently showcasing innovative stablecoin projects from its KaiaWave Summer Hackathon, including new AI-powered lending platforms built on the network.
This recap is published on BitPinas: Kaia Summit Highlights Asia’s Leadership in Stablecoin Adoption
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