Philippine banks launch PHPX stablecoin

It hopes to take advantage of the $9t global stablecoin transactions market.

A group of major Philippine financial institutions, including UnionBank of the Philippines (UBX), Rizal Commercial Banking Corporation (RCBC), Cantilan Bank, Rural Bank of Guinobatan, and other commercial and rural banks, has introduced PHPX, the firstPhilippine Peso (PHP) stablecoin secured by bank collateral.

It hopes to take advantage of the $9t (first half of 2024) global stablecoin transactions market.

Developed in collaboration with Web3 fintech company JUST Finance—a partnership between FSCO and Ayannah—PHPX aims to streamline cross-border payments and remittances for Filipinos worldwide, a press release said.

The PHPX stablecoin offers bank-backed security with real-time auditing and is distributed solely through licensed banks to maintain regulatory compliance. 

The new digital asset is expected to lower costs and speed up processing for remittances and foreign exchange swaps. 

Through a multi-currency exchange platform, PHPX will allow seamless conversion with major stablecoins, including USDC and EURC, enhancing cross-border payment efficiency, according to the press release.

Additionally, the stablecoin will enable access to tokenized investments in bonds and ETFs denominated in PHP, USD, and EUR, offering Filipinos new high-yield investment opportunities.