Philippines adopts Tether’s USDT for social security payments
Stablecoin issuer Tether has launched a new payment option for citizens of the Philippines, enabling them to use USDT for their Social Security System (SSS) contributions. The SSS is a government-run social insurance program that supports employees in the official, informal, and private sectors, providing financial assistance during difficult times.
In its announcement, Tether has partnered with Web3 shopping and infrastructure firm Uquid to facilitate these payments on The Open Network (TON) blockchain. Uquid’s involvement underscores the growing role of stablecoins in simplifying and enhancing everyday transactions. Uquid, a decentralised commerce infrastructure platform, supports merchants and customers across various markets, boasting a user base of over 260 million.???
Pay Social Security System contributions with USD? on @ton_blockchain via @uquidcard in Philippines???? pic.twitter.com/8WJyNVH0ux
— Tether (@Tether_to) July 1, 2024
Growing demand for stablecoins
The demand for stablecoins has surged in recent years, with cryptocurrencies gaining mainstream adoption. Initially used as tools for centralized exchanges, stablecoins have become key liquidity providers in both centralized and decentralised markets. Mainstream platforms like PayPal have introduced their native stablecoins, such as PayPal USD (PYUSD), and Ripple plans to launch its own stablecoin in early 2025.?
In May, Philippine-based cryptocurrency exchange Coins.ph announced it received approval from the Bangko Sentral ng Pilipinas (BSP), the country’s central bank, to introduce the peso-backed stablecoin, PHPC. The PHPC stablecoin is the first Philippine stablecoin available for retail customers.?
Enhancing financial inclusion
The integration of USDT into the Philippine SSS payment system not only enhances user experience but also highlights the evolving role of stablecoins in everyday financial activities. This partnership between Tether and Uquid demonstrates how blockchain technologies can offer efficient alternatives to traditional payment methods, particularly in regions with developing digital payment infrastructures.?
Practical applications of USDT
In addition to facilitating social security payments, Tether and Uquid have launched the “1 USDT” store, showcasing the practical use of stablecoins in retail. This venture aims to enhance the practicality and accessibility of digital currencies in online shopping, aligning with Uquid’s commitment to advancing Web3 shopping experiences. By integrating USDT into its payment systems, Uquid addresses the limitations of traditional Web 2.0 e-commerce platforms, paving the way for a smoother Web3 environment.?
