Ant International is preparing to launch stablecoin business in the Asian financial center

Ant Group's overseas subsidiary Ant International is actively preparing to launch stablecoin services in major financial centers in Asia. This payment processing giant is seeking new growth avenues beyond traditional fintech operations.

It is reported that this Singapore-based company plans to apply for a stablecoin issuance license immediately after the stablecoin regulations in Hong Kong come into effect in August. As part of its broader blockchain expansion strategy, the company also plans to apply for relevant licenses in Singapore and Luxembourg.

This move marks Ant International's official entry into the cryptocurrency space. Last year, the company handled a global transaction volume of over $1 trillion, of which about one-third (approximately $333 billion) was completed through its blockchain-based Whale platform. This indicates that the company has developed a mature digital asset operation infrastructure.

Ant International's plan to launch a stablecoin aims to enhance its cross-border payment and fund management service capabilities, leveraging blockchain technology to improve the efficiency and transparency of fund transfers. Currently, the Whale platform supports various tokenized assets from global banks and institutions and employs advanced privacy computing technologies, including homomorphic encryption and multi-party verification systems.

In terms of timing, Ant International is expected to seize the growing demand from institutional investors for stablecoins. As of May this year, the global stablecoin market has reached a scale of $243 billion. The company's existing banking partnerships lay a solid foundation for its stablecoin business, having established partnerships with several major global banks. Recently, Ant International also announced a strategic cooperation with Deutsche Bank to jointly provide payment solutions and fund management services.

For Ant International, the stablecoin business is a natural extension of its fund management operations. This business has shown tremendous growth potential, with revenues approaching $3 billion in 2024, and has achieved adjusted profitability for two consecutive years. This expansion comes at a time when Ant Group is seeking new growth drivers, as its online lending business in China has faced some regulatory restrictions in recent years.

Ant Financial has entered the stablecoin space, aligning with the widespread trend of large financial and tech companies embracing digital assets. In 2023, a certain payment company launched its own stablecoin, marking the first significant move by a major financial services firm in this area. At the same time, some asset management companies have also created tokenized money market fund products that function similarly to stablecoins.

Compared to other regions, the regulatory environment in Hong Kong and Singapore provides a clearer framework for stablecoin operations. The upcoming "Stablecoin Regulation" in Hong Kong and Singapore's advanced digital asset regulations offer institutional-level compliance pathways for companies looking to operate legally in this field.