27 Oct, 2025

Bank of Laos Targets Stronger Oversight, Digital Banking in New Five-Year Strategy

The Bank of Laos (BOL) has unveiled a new five-year plan (2026–2030) aimed at strengthening the national financial system and ensuring long-term monetary stability.During the bank’s Fifth Party Congress held on 26 October at the Banking Institute Conference Hall in Vientiane, Bounkham Vorachit, Secretary of the Party Committee and Governor of the Bank of Laos, outlined the strategic direction under the theme:“Strengthen Party leadership to ensure monetary stability, develop a resilient financial system, and modernize financial services for inclusive growth.”According to the governor, the new plan will focus on enhancing financial management, strengthening leadership and accountability, and promoting digital banking innovations to improve efficiency and inclusion.The plan builds on the bank’s previous five-year strategies centered on financial stability and modernization, responding to recent challenges that underscore the need for stronger oversight and transparency.SUBHED: Banking Sector Corruption Highlights Need for ReformThe importance of these reforms has become even more evident in light of recent issues within the banking sector. Persistent governance gaps and corruption cases have tested public trust and highlighted the urgency of strengthening oversight across financial institutions.In 2024, widespread corruption within Laos’ banking sector led to losses of nearly LAK 1.6 billion (approximately USD 74,000), with only LAK 137.43 million (about USD 6,300) recovered, according to the Bank of Laos.The bank reported 21 corruption cases last year, including two within BOL, three at Nayoby Bank, and one at BCEL, with the remainder linked to ongoing investigations at the Agricultural Promotion Bank and Nayoby Bank.A total of 167 individuals faced disciplinary action, including 11 BOL staff, while three officials were suspended pending further inquiry.SUBHED: Expanding Digital and Cross-Border ConnectivityAgainst this backdrop, the Bank of Laos is also accelerating its modernization agenda. By embracing digital transformation and cross-border connectivity, the bank aims to create a more transparent and efficient financial system that supports economic growth and regional integration.As part of its modernization drive, Laos has expanded cross-border QR code payment systems with  Thailand, Cambodia, Vietnam, South Korea, and China, allowing seamless cashless transactions for tourists and businesses. This initiative aims to boost regional financial integration and support digital economic growth.Delegates at the congress also discussed measures to make the banking sector more resilient, efficient, and capable of supporting national economic development.Deputy Prime Minister Saleumxay Kommasith, who attended the congress, praised the achievements of the outgoing leadership and urged the new committee to continue building a stable, modern, and transparent financial system that underpins sustainable growth.Following party procedures, delegates elected the Fifth Party Executive Committee, comprising 17 members, including five in the Standing Committee.Bounkham Vorachit was re-elected as Secretary, Vathana Dalaloy as Deputy Secretary, and Aloun Bounyong as Chair of the Party Inspection Committee.

24 Oct, 2025

Stablecoin QR Payments: Exploring the “Last Mile” of the Crypto World

The convergence of stablecoin payments and QR code systems is quietly transforming the underlying logic of modern payment infrastructure. Only a few years ago, people were still debating whether digital currencies could ever enter daily life. Today, in certain countries, scanning an ordinary merchant QR code may in fact trigger a payment settled in crypto stablecoins behind the scenes. From Southeast Asia to South America, QR-based stablecoin payment systems are taking shape.Vietnam and the Philippines: Financial InclusionIn Vietnam and the Philippines, the promotion of stablecoin QR payments is closely tied to the goal of financial inclusion. Both countries have limited banking coverage, leaving a large proportion of low- and middle-income citizens reliant on e-wallets for everyday payments. According to World Bank data, over 30% of Vietnamese adults and nearly 44% of Filipinos remained unbanked in 2023.In June 2025, Bitget Wallet announced the integration of its crypto payment feature with the national unified QR code systems of both countries—VietQR and QR PH—enabling users to pay directly with stablecoins such as USDT or USDC.This initiative is far from a symbolic “crypto-payment concept”; it represents a genuine embedding of blockchain liquidity within local financial networks. When consumers scan to pay, the system automatically converts stablecoins into local fiat currency in the background. Merchants neither handle crypto assets nor bear exchange rate risks. As Bitget noted in its official blog, the goal is to make “the crypto payment experience indistinguishable from a regular e-wallet transaction.”Vietnam’s payment environment provides fertile ground for such innovation. VietQR, launched by the National Payment Corporation and major banks, standardizes QR code payments nationwide across banks and wallet providers. When stablecoins like USDT enter the VietQR ecosystem, they effectively bridge blockchain liquidity with the national financial network. Users initiate payments through crypto wallets, settle via stablecoins, and merchants still receive VND-denominated funds. For regulators, this structure preserves control over local currency clearing while allowing international liquidity to flow more efficiently into retail payments.Brazil: Inflation Hedging and System IntegrationBrazil’s core motivation lies in hedging inflation and integrating global crypto capital. Since 2024, inflation has remained above the target band, and the Brazilian real (BRL) has increasingly been substituted by digital assets in trading. By allowing users to pay via stablecoins like USDT or USDC through QR codes, the government is, in effect, incorporating market-adopted crypto assets into its regulatory perimeter—turning them into supervised payment instruments.Brazil’s PIX system, known for instant transfers, has already replaced much of the country’s cash transactions. In September 2025, Aeon Pay announced that its “Crypto Scan-to-Pay” service now supports stablecoin payments via PIX QR codes. Users can scan and pay directly with USDT or USDC, with automatic real-time conversion into BRL in the background.Because PIX covers virtually all banks and merchant terminals, stablecoins can now achieve QR-based, on-the-spot settlement across the broadest segments of the economy. Aeon Pay emphasizes that its system complies with central bank AML and fund-traceability requirements, ensuring all conversion and clearing flows are fully auditable.Thailand: Tourism Economy and FX OptimizationMeanwhile, Thailand—buoyed by its vibrant tourism sector—is exploring similar mechanisms. According to policy analysis from Silk Legal, Thailand’s Tourist DigiPay program enables visitors to pay merchants by converting crypto into Thai baht through QR code transactions.The logic is straightforward: Thailand’s foreign-exchange settlement system still involves friction for small-value transactions. Tourists often face high fees and opaque exchange rates when converting cash or using foreign cards. Stablecoin QR payments bypass traditional FX intermediaries, using smart contracts to execute instant conversions and credit merchants directly in local currency.The key innovation is not the legalization of crypto trading itself, but the integration of stablecoins into Thailand’s unified QR code network. Tourists can top up certified wallets with USDT upon arrival; the system then auto-converts the amount into THB equivalents and clears through local banks and payment gateways. This model maintains full regulatory compliance while reducing foreign-exchange friction—bringing stablecoins into practical, real-world use within the tourism economy.Singapore: Compliance Meets InnovationWhile many of these examples emerge from emerging markets, Singapore in September 2025 became the first highly developed financial hub to enable stablecoin QR payments within a regulated ecosystem.According to Finextra and Channel News Asia, OKX Pay partnered with StraitsX to launch QR payment functionality supporting USDC and USDT. Users can scan the SGQR, Singapore’s national unified QR code, across GrabPay’s merchant network to make purchases.Behind the scenes, the system converts USDC or USDT into XSGD, a stablecoin fully pegged to the Singapore dollar (SGD), and merchants receive payment in fiat SGD.This model marks the first implementation of retail stablecoin payments in a strictly regulated jurisdiction. The Monetary Authority of Singapore (MAS) had already introduced a Stablecoin Regulatory Framework in 2023, requiring issuers to maintain high-quality, liquid reserves and undergo independent audits. These safeguards provide both legal and technical assurance, enabling stablecoin QR payments to function reliably at scale.Convergence of QR Codes and Stablecoins: The New InterfaceAlthough national pathways differ, the underlying logic remains strikingly similar: unified QR systems serve as the access layer, stablecoins provide the liquidity layer, and the clearing infrastructure handles conversion into fiat before settlement with merchants. For users, paying with a stablecoin QR feels no different from scanning with Alipay or PayNow. Regulators retain oversight visibility while embracing new inflows of capital and innovation from the crypto market.Behind this trend lies a global institutionalization of the stablecoin ecosystem. Governments are no longer avoiding the issue—they are seeking “steady-state” integration models. Judging from current developments, QR-based stablecoin payments are fast becoming the intersection between crypto assets and the real economy—preserving the convenience of QR payments while extending stablecoin liquidity from virtual markets into everyday commerce.