Singapore Gulf Bank Adds Stablecoin Settlement to Banking Platform

Singapore Gulf Bank said on Monday it will integrate stablecoin settlement into its existing clearing network, allowing institutional clients to trade and convert digital tokens alongside traditional currencies within a regulated banking platform.

The Bahrain-based bank, backed by Whampoa Group and the kingdom's sovereign wealth fund Mumtalakat, will support USDC and USDT stablecoins across Solana, Ethereum and Arbitrum blockchains through its SGB Net platform, which currently processes over $2 billion in monthly fiat transactions.

The service will allow clients to mint, convert, hold and trade stablecoins within the same infrastructure used for conventional banking operations, the bank said in a statement. Access is scheduled to begin in the first quarter of 2026.

"Stablecoins have become the working capital of the digital asset economy, yet managing them remains unnecessarily complex," said Shawn Chan, Singapore Gulf Bank's chief executive officer.

The platform will provide real-time settlement between fiat currencies and stablecoins across borders, according to the bank. Digital asset custody will be handled through a partnership with Fireblocks, a provider of cryptocurrency infrastructure services.

SGB Net has grown at an average month-over-month rate of 92.64% since its launch in May 2025, the bank said. The stablecoin integration follows Singapore Gulf Bank's introduction of corporate banking services in late 2024 and its November 2025 partnership announcement with Fireblocks.

The bank said it is working with stablecoin issuers and regulators to establish risk management frameworks for the service.

Stablecoins, which are cryptocurrencies designed to maintain a stable value typically pegged to the U.S. dollar, have become widely used for trading and settlement in digital asset markets. USDC and USDT together represent over $200 billion in circulating supply.

Traditional banks have been cautious about offering stablecoin services, citing regulatory uncertainty and operational complexity. Singapore Gulf Bank's approach places digital token trading within a licensed banking framework subject to know-your-customer and anti-money laundering requirements.

The bank did not disclose pricing for the service or provide details on which specific regulatory approvals have been obtained for the stablecoin operations.