XIDR

StraitsX Insights #3: How can businesses leverage XSGD & XIDR smart contracts?

April 21, 2022

Key takeaways:

- XSGD & XIDR smart contracts are open source
- XSGD & XIDR smart contracts can be used to build Lending, Forex trading, Treasury
   management, Risk & asset management, Insurance and other apps
- Building with XSGD & XIDR smart contracts enables regional settlements:
   
- Stablecoins can be used as a global payment method
   - Transactors can settle with their local currency without the hassle of FX rates
   - Smart contracts do the legwork of FX conversions & fast settlement times

Stablecoins and its smart contracts have a variety of use-cases. They provide businesses and corporate treasuries speed, accuracy, reduced costs, and transparency. With StraitsX’s stablecoins, XSGD and XIDR, businesses and corporate treasuries can build applications that leverage the aforementioned strengths.

XSGD & XIDR smart contracts are open source

Businesses and corporate treasuries can build a variety of applications in different industries with XSGD and XIDR. These stablecoins are built upon the Ethereum and Zilliqa networks, which increases compatibility and speed by adopting a multi-platform approach. Both XSGD and XIDR are built upon the ERC-20 (Ethereum) and ZRC-2 (Zilliqa) token standards.  

Businesses and corporate treasuries can view and adapt the XSGD and XIDR smart contracts via the Developer docs on StraitsX. Alternatively, they may choose to view and adapt the smart contracts for their business on third-party blockchain ledgers Etherscan or Viewblock.io:

Etherscan (ERC-20)
XSGD:
View the smart contract here.
XIDR:
View the smart contract here.

Viewblock.io (ZIL-2)
XSGD:
View the smart contract here.
XIDR:
View the smart contract here.

Develop applications with XSGD & XIDR smart contracts

With the aforementioned smart contracts, businesses and corporate treasuries can build applications such as:

  • Lending apps
  • Forex trading apps
  • Treasury management apps
  • Risk & asset management apps
  • Insurance apps

For example, within the insurance industry, there is lots of potential to use XSGD and XIDR smart contracts. Such smart contracts can automate paperwork like assessing claims and filing, whilst automatically collecting and disbursing payments via XSGD or XIDR after the claimant has uploaded their documents. 

The claimant can then exchange XSGD or XIDR for their corresponding fiat currencies automatically and seamlessly, because XSGD and XIDR are backed with their fiat at a 1:1 rate.

Should there be a need for an audit, it can be readily reviewed by anyone because the blockchain is transparent – auditors and users alike can simply head to Etherscan and Viewblock to review transactions. This is but one of many applications of XSGD and XIDR smart contracts.

Building with XSGD & XIDR smart contracts enables regional settlements

Many businesses and corporate treasuries operate within markets that settle with the US Dollar (USD). Whilst the USD is widely accepted as the de facto global currency, China and Russia have made a push in March 2009 to settle with a one-world currency. However, this would not be a good solution as it upends many countries’ local currency systems.

As such, the answer to this problem would be stablecoins. Specifically, fiat-backed stablecoins. This eliminates the many problems that current fiat currencies face such as long settlement times, high fees, and differing opening hours for each region’s stock market. 

XSGD & XIDR smart contracts enables seamless transactions

By adopting a stablecoin approach to settlements, businesses and corporate treasuries can settle with their local fiat currencies. This can be automatically converted to its stablecoin variant, for example, XSGD and XIDR, with its corresponding smart contracts. This reduces middlemen fees such as transaction monitoring fees, payment reconciliation fees, commission fees, or even minimum transaction fees. The global transparency in these transactions is an added bonus, as well as its always-online, 24-hours, 7-day a week availability.

Stablecoins have the potential to become a global payment method because of how well it integrates with the current financial systems. In the ASEAN region at least, StraitsX is the pioneering payments infrastructure for the digital assets space in Southeast Asia. This is because StraitsX provides payment rails that facilitate seamless transactions via the Payment and Payout APIs. In the future, these APIs will support payments and payouts made with the StraitsX fiat-backed stablecoins, XSGD and XIDR.

How can I start using XSGD & XIDR on StraitsX?

Within the StraitsX Ecosystem, there are tons of use-cases for the XSGD and XIDR stablecoin. Businesses and corporate treasuries can mint, swap, and redeem stablecoins with a StraitsX Business Account, and reap high yields by pooling stablecoins with our DeFi partners.  

It is a simple process:

  1. Sign up for a StraitsX Personal Account or StraitsX Business Account.  
  2. Verify your identity and upload the required documents.
  3. Make a Transfer In from your bank account to your StraitsX Personal Account or StraitsX Business Account to mint XSGD or XIDR
  4. Transfer Out your XSGD or XIDR to any one of our DeFi partners via a personal, non-custodial wallet:  DFX, Uniswap, and Zilswap.
  5. Pool your XSGD or XIDR on DFX, Uniswap, and Zilswap to swap and redeem between different stablecoins such as USDC, EURS, and others.
  6. Alternatively, you can pool your XSGD or XIDR to reap attractive yields with low slippages.

Note: If you are a high net worth individual, or institution, you can take advantage of StraitsX’s OTC Desk feature that offers deep liquidity and OTC block trades.

StraitsX and our DeFi partners are especially catered for our Indonesian and Singaporean users because of our native support of XSGD and XIDR. This would allow our regional investors to trade in their home currency, as opposed to factoring in the conversion of their home currency to the US Dollar (USD), minimising transaction fees, and slippages.

Ready to get started?

Mint and redeem StraitsX stablecoins, manage payments, view transactions and more.