The Philippines has adopted Tether's USDT for social security contributions. This move marks a significant shift in government payment systems. In some ways, this innovation might be considered as significant as El Salvador's Bitcoin adoption in 2021.
The Social Security System (SSS) in the Philippines now includes USDT its payment options. Tether's USDT is the world's largest stablecoin by market capitalization.
The SSS is a state-run social insurance program. It covers employees in the official, informal, and private sectors.
The program provides support during difficult times. It manages two key initiatives: social security and employee compensation.
Tether has partnered with Uquid, a Web3 shopping and infrastructure firm. This collaboration enables Filipino citizens to pay SSS contributions using USDT on The Open Network blockchain.
Uquid emphasized the potential of stablecoins. "This partnership highlights how stablecoins like USDT and crypto can simplify our daily lives," a company spokesperson said.
Uquid is a decentralized commerce infrastructure platform. It uses blockchain technology to offer crypto payment options.
The company has built a user base of over 260 million in eight years. It supports merchants and customers across various markets.
Tran Hung, CEO of Uquid, commented on the partnership. "This marks a significant milestone in bridging digital currencies and daily transactions," he said. "It makes crypto micropayment applicable."
Stablecoin demand is rising globally.
Just to quickly remind you, PayPal has launched its native stablecoin, PayPal USD, and Ripple plans to introduce its own stablecoin in early 2025.
Stablecoins are increasingly used for cross-border payments at an institutional level. They have evolved from exchange on-ramps to key liquidity providers in various markets. And maybe Satoshi wasn't expecting this, but stablecoins might eventually become a more powerful force that Bitcoin itself in terms of making crypto a driving force in the world of finance.