The rollout of OKX’s latest service, OKX Money, seeks to offer new and existing users to hold and use stablecoins for payments, while opening access to underserved communities.
OKX has launched OKX Money to allow its customers to earn rewards by holding stablecoins in their balances.
The standalone service allows users to hold stablecoins, such as USDT and USDC, into a consolidated balance or wallet within the OKX Money app.
Users have up to 50 stablecoins which are compatible with OKX Money to be rewarded with up to 10% APY with no staking or lockups required. Within the same app, users can use virtual or physical cards to spend stablecoins from their balance at eligible merchants with zero foreign exchange and conversion fees.
A loyalty programme also enables users to earn up to 10% cashback on eligible purchases. A referral option has also been deployed by OKX to incentivise users to refer OKX Money to friends and family to sign up, receiving commission in the process.
OKX Money is available in the 30 jurisdictions the digital asset firm is regulated and active in. This does not apply to investors in Singapore.
Breaking barriers
One of the core strategies for the launch of OKX Money is for US dollar stablecoins to become widely available to customers where it would be difficult to use and save with traditional fiat US dollars.
“OKX Money is designed for people across regions where currency fluctuations, limited access to banking services, and foreign exchange fees can make it difficult to protect savings and spend globally,” said the company in a statement.
“For many, accessing US dollar savings requires a foreign bank account or relationship with a financial institution. We built OKX Money to lower those barriers.”
In countries where currencies can fluctuate, such as Argentina which OKX is regulated in, stablecoins can act as a hedge against inflation to preserve the value of users’ money.
OKX Money is aiming to also assist users in these circumstances by also eliminating foreign exchange fees which can typically charge 2% to 5% for every cross-border transaction. OKX intends to roll out the service to 70% of users that have never used a crypto application.
“OKX Money is designed to keep the underlying technology in the background,” said OKX in its statement.
“Customers can focus on what they want to do with their money – save it, send it or spend it – without needing to understand how blockchain works.”
