Key Takeaways:
- Coinbase lists AUDD and XSGD, the first Australian- and Singapore-pegged stablecoins on its platform.
- Users in Australia and Singapore can convert AUD ⇌ AUDD and SGD ⇌ XSGD with zero fees.
- These holdings advance the vision of going all onchain with local currencies and lessening the dependence on USD in crypto.
The action by Coinbase is a pioneer in the history of stablecoins and allows direct access to fiat-backed domestic digital currency. A deeper dive into the implications for crypto, users, and markets follows.
Why AUDD and XSGD Matter Now
Most existing stablecoins are anchored to the US dollar – nearly 99 % of on-chain digital cash is denominated in USD.
That arrangement forces users and businesses in other countries to bear foreign exchange friction when getting into crypto.
By launching AUDD and XSGD, Coinbase is upending that status quo. They are fiat-backed tokens redeemable 1:1 with the Australian dollar and Singapore dollar, respectively, which give users in those markets more direct onchain access to value denominated in their local currencies.
This is all part of a broader strategic push: getting “every currency onchain.”
Read More: Coinbase Launches the First U.S. Futures Trading Tied to Tech Giants and Crypto
Launch Details & Availability
Go-Live Schedule
Coinbase added AUDD and XSGD globally on September 29, 2025, at 19:00 UTC.
The listing has no geographical restriction – everyone everywhere can trade the stablecoins.
Conversion & Fee Structure
Australian and Singaporean customers can convert AUD AUDD and SGD XSGD without a fee.
No additional trading or redemption fees for those native conversions are assessed by Coinbase.
Issuers, Compliance & Regulatory Standing
AUDD is minted by AUDC Pty Ltd, a fiat-backed stablecoin for institutional-grade use that is fully collateralized.
XSGD is a 1:1 pegged mint issued by StraitsX and backed by major Singapore financial institutions and accepted within the future MAS Single Currency Stablecoin (SCS) system.
The Monetary Authority in Singapore has already indicated its favor toward regulated stablecoins, and XSGD will be in a good position to comply with the future regulatory framework.
Application Cases and Greater Cryptocurrency Implications
On-Chain Native FX
AUDD and XSGD give users and businesses an opportunity to transact in their native currencies without converting them through a third currency (USD). That eliminates FX friction and enables additional frictionless local uses.
Improved DeFi & Gearing Opportunities
As more stablecoins are introduced, DeFi protocols may start to provide AUDD-paired liquidity pools, XSGD-paired liquidity pools, lending markets, and algorithmic products.This diversification will have the potential to capture the capital in markets that are already poorly served by USD-only stablecoins today. Programmable / Agentic Finance Support.
Coinbase suggests that these local stable tokens will constitute blocks of agentic commerce – where AI agents can purchase services or data on their own using onchain currency.
Read More: What is DeFi? A Simple Guide to Decentralized Finance 2025
Market & Adoption Metrics
As of June 2025, stablecoin market capitalization exceeded $250 billion, a 50 % year-over-year increase.
Stablecoins enabled over $30 trillion in transaction volume in 2024.
It is predicted by experts that stablecoins can become a $2 trillion asset in the future. Ipsos conducted a survey on behalf of Coinbase and found out that more than 70 percent of Australian and Singaporean crypto users were interested in using local currency stablecoins.
Issues & Problems to be Aware of
Liquidity & Spread: AUDD and XSGD might experience reduced liquidity and increased bid-ask spreads when launching as opposed to more established USD stablecoins. Adoption Cycle: Merchant, wallet, and platform adoption are the key aspects in the real world. Without usage, they will remain niche.
Regulatory Changes: Both Australia and Singapore are in the process of crafting their stablecoin and digital money regulations; developments could impact issuers or operating models.
Peg Stability: Confidence is important to maintain 1:1 backing and avoid de-pegging events.
Regional Momentum & Local Impact
Listing XSGD on Coinbase in Singapore is happening alongside integration into local infrastructure – e.g., adoption in OKX Pay scan-to-pay services was also revealed this week.
Singapore banking giants back the stablecoin reserves, which bolsters user and ecosystem participant confidence.
Australia, however, may see deeper integration in fintech platforms, cross-border transactions, and institutional acceptance as AUDD gains traction.
Rising Competition Among Stablecoins
USDT and USDC had stablecoins dominated by them for years, with a combined share of over 80%. Their focus, however, remains almost solely USD-focused, leaving some gaps in jurisdictions where local currency convenience is superior.
AUDD and XSGD’s entry shows stablecoins can extend across the one-dollars-only framework, bringing diversity and resilience to the system.
A Multi-Currency Onchain Economy in Progress
Local-stablecoins in local currency would push crypto into a multi-currency setup, much like forex markets are today, worldwide. Instead of USD dominance in all onchain transactions, liquidity will coalesce around regional hubs like AUD and SGD.
For Asia-Pacific traders and fintech issuers, this reduces exposure to movement in the USD exchange rate and streamlines the payment rails. If the trend gains traction, Coinbase’s move will be a blueprint for other issuers around the world – a clear step toward breaking the USD-only blockchain economy.