XSpring and KTC Introduce Payment Card for Digital Assets

Ms. Phichamon, left, and Ms. Varangkana at the launch of the KTC-XSPRING payment card.

XSpring Capital has partnered with Krungthai Card (KTC) to launch a product that converts digital assets into cash.

The KTC-XSPRING payment card, which will be officially launched later this month, aims to issue loans of 5-7 billion baht within three years and attract 5-10% of investors trading in the Thai market. digital assets.

The alliance between XSpring, a holding company that bridges conventional and digital finance, and leading consumer finance operator KTC, revealed on Wednesday that loans can be secured using a variety of proven assets to provide liquidity to holders of digital assets.

KTC sees this collaboration as a new facet of the lending industry, aimed at tapping into new customer base in digital asset-related markets. With KTC-XSPRING, KTC aims to increase the number of loan program members to drive the growth of personal loan portfolios and gain greater market share in the industry.

An economic downturn, which affects people’s incomes and causes liquidity problems, is undeniably conducive to the growth of microfinance, especially personal loans, said Varangkana Artkarasatapon, president of XSpring.

The company foresees expansion opportunities in the credit sector, where exponential growth is highly expected in the second half of this year, she added.

Meanwhile, falling digital asset prices have made this a particularly difficult year for digital asset-related businesses. There are currently more than 3 million registered digital asset trading accounts in Thailand, and many of these traders could be affected by the current downturn in the digital asset market, which is reflected in low liquidity and lack of cash.

The introduction of the Digital Asset Secured Lending Program which converts digital assets into ready-to-use cash marks the first step in its entry into the cash lending market by incorporating a new type of alternative secured asset, to know digital assets.

“We are confident that this synergy will enable us to successfully enter the lending industry as a team. Along with the expectation of earning 5-10% of the daily trading volume in the Thai digital asset market from more than 2.66 billion baht through our crypto-secured lending customers, XSpring expects to lend more than 5-7 billion baht within three years,” said Ms. Varangkana.

Clients who wish to convert their digital assets using the KTC-XSPRING payment card will need to have a trading account with the XSpring Digital trading platform in order to pledge the digital assets they acquire as loan collateral.

Going forward, the service will also accept a variety of well-recognized cryptocurrencies as collateral and introduce more loan categories, Varangkana added.

Phichamon Jitpentham, deputy general manager of KTC’s personal lending business, said that with a contemporary vertical card design, all the functionality associated with swipe cash withdrawals and the strength of MasterCard’s network of over 80 million of merchants around the world, members are able to use the KTC-XSPRING payment card more easily to meet consumer behavior in the digital age that values ​​fast, secure and contactless services.

Cardholders can shop online at any retailer, anywhere, anytime. They can also use the KTC Mobile app to transfer money in real time to bank accounts at 15 different banks and make unlimited, fee-free ATM withdrawals.