As the Monetary Authority of Singapore (MAS) finalises its stablecoin regulatory framework and launches initiatives such as Project BLOOM (Borderless, Liquid, Open, Online, Multi-currency), Singapore is moving beyond testing financial infrastructure and integrating tokenised money into its financial system in 2026. Globally, the stablecoin market has matured, with market capitalisation surpassing $300 billion. The stablecoin market has shifted from retail speculation to institutional use, as corporates, banks and payment networks adopt blockchain-based, fiat-linked assets to speed up and secure cross-border transactions. Infrastructure gaps delay global payments Over the past decade, banks across Asia Pacific have invested heavily in mobile-first platforms and real-time domestic payment systems, reshaping how customers interact with financial services. Digital channels now account for around 60% of basic financial product activities across the region. Yet the underlying infrastructure that moves money across borders and institutions still lags behind modern business needs. This mismatch is no longer just inefficient—it constrains how global finance functions. As volumes scale, the cost of delay, trapped liquidity and operational risk becomes harder to ignore. Stablecoins bridge this gap by enabling value to move and settle in real time. When designed for institutional use—prioritising compliance and liquidity— they allow treasury teams to move cash seamlessly between global entities in different time zones in seconds rather than days. This capability is driving meaningful change in 2026, as stablecoins move into corporate treasury functions beyond trading use cases. Recent initiatives involving institutions such as DBS and Franklin Templeton illustrate how regulated banks and asset managers are beginning to explore tokenised funds and stablecoin-enabled settlement within Singapore’s regulatory perimeter. A regulatory architecture for safe, scalable adoption Singapore’s leadership in stablecoin adoption is deliberate, not accidental. Its regulatory-first, integration-led approach treats digital money as part of the financial system rather than an exception. This strategy is exemplified by Project Guardian, which has transitioned from experimental pilots to institutional-grade deployment via the Guardian Wholesale Network. Under the Global Layer One (GL1) initiative—a public-private collaboration involving MAS, the Bank of England, the Banque de France, and major global commercial banks—MAS is fostering a set of open standards and programmable compliance toolkits. This ensures that different forms of digital money, including tokenised deposits and regulated stablecoins, can interoperate across diverse platforms rather than becoming trapped in proprietary silos. Singapore’s tiered regulatory approach requires stablecoin issuers to maintain strict 100% reserve backing and redemption mandates, while tokenised deposits leverage existing bank capital frameworks. This balance promotes transparency, risk alignment and institutional confidence. From disruption to integration Where past conversations around crypto focused on disruption, in 2026 the emphasis is on integration. With the regulatory fog lifted by the US GENIUS Act and the maturity of Singapore’s own framework, the focus is shifting from seeking clarity to building connectivity. What is emerging in Singapore is not a parallel financial system, but a hybrid one. Stablecoins are not replacing existing payment rails; they extend them, enabling traditional and tokenised value to coexist on the same infrastructure with unprecedented speed and transparency. This evolution is reinforced by the government’s consistent approach to digital assets as a structural pillar of the nation’s economic strategy, not a temporary experiment. For institutions, the focus is on integrating digital assets to improve liquidity, efficiency and transparency. Singapore has drawn the blueprint for this financial future, and now is the time to start building. Fiona Murray is the vice president and managing director of Asia Pacific at Ripple, a financial technology company focused on enabling secure, compliant and efficient cross-border payments.
