Stellar integrates TopNod wallet to enter the Asian market! XLM plummets as expansion of the territory continues

Stellar Development Foundation (SDF) announced at the Hong Kong Consensus Conference that the non-custodial wallet TopNod will integrate with the Stellar network. This move is part of SDF’s strategy to expand into the Asian market, where SDF faces fierce competition from projects like Solana in the payments and tokenization sectors. XLM has fallen approximately 71% from its 2025 high of $0.52, underperforming compared to Bitcoin and Ethereum.

TopNod Wallet’s No-Mnemonic Technology

TopNod wallet employs key sharding and Trusted Execution Environment (TEE) technology, eliminating the need for a mnemonic phrase. The platform focuses on tokenizing real-world assets (RWA) and stablecoins, rather than speculative tokens, but it remains a relatively young project with limited brand recognition outside the Web3 community. The core selling point of TopNod is its no-mnemonic approach, addressing one of the biggest user experience pain points in crypto wallets.

Traditional crypto wallets require users to memorize or securely store a 12-24 word mnemonic phrase, which, if lost, results in permanent asset loss. This “one mistake, lifelong loss” characteristic is a primary reason mainstream users hesitate to use crypto wallets. TopNod’s key sharding technology splits the private key into multiple fragments stored across user devices, cloud, and TEE. Users can regain access via biometric authentication (fingerprint, face) or social recovery (trusted contacts), without memorizing a mnemonic.

Trusted Execution Environment (TEE) is a hardware-level security isolation technology that creates a protected area within the processor. Even if the operating system is compromised, data within TEE remains secure. This technology is commonly used in high-security scenarios like mobile payments and digital signatures and is now applied to crypto wallets, providing bank-level security.

However, as a relatively new project, TopNod’s technical reliability and long-term viability still need validation. While key sharding and TEE are advanced, improper implementation could introduce new attack vectors. Additionally, TopNod’s brand awareness outside the Web3 circle is limited, requiring substantial marketing and user education to penetrate mainstream Asian markets.

Three Key Features of TopNod Wallet

No Mnemonic: Key sharding + social recovery lowers user barriers

TEE Security: Hardware-level isolation, bank-grade protection

RWA Focus: Tokenized assets and stablecoins, not speculative tokens

Ambitions for Anchor Networks in Indonesia, Philippines, and Vietnam

In an exclusive interview with BeInCrypto, Stellar Chief Business Officer Raja Chakravorti described the Asia-Pacific region as a “key growth driver,” and stated that SDF plans to establish anchor networks in Indonesia, the Philippines, and Vietnam within the next year. “We initially introduced regional staff in Singapore, but we are committed to rapid expansion,” Chakravorti said, adding that more partnerships with regional financial institutions will be announced in the next two quarters, though he declined to provide specific details.

Indonesia, the Philippines, and Vietnam are the three most populous and fastest-growing economies in Southeast Asia, with a combined population of over 400 million. These countries share common features: low banking penetration (large unbanked populations), high remittance needs (many overseas workers sending money home), and widespread mobile internet (high smartphone adoption). These characteristics make them ideal markets for blockchain payments and stablecoins.

Anchors are the bridges connecting fiat and crypto assets within the Stellar ecosystem. Anchor institutions act like banks, allowing users to deposit fiat currencies (such as Indonesian rupiah, Philippine peso) and receive equivalent Stellar stablecoins, which can then be used for instant, low-cost cross-border transfers on the Stellar network. Recipients can convert stablecoins back to local fiat through local anchors. This model bypasses traditional banking and SWIFT systems, significantly reducing remittance costs and times.

SDF has also partnered with MarketNode, a tokenization platform based in Singapore, and is discussing with financial institutions about tokenizing money market fund assets in the region. Ambitious plans are evident, but execution remains to be seen.

XLM Down 71% and Distribution Challenges

Over the past year, Stellar’s on-chain RWA value exceeded $1 billion, and its DeFi TVL doubled. However, XLM’s price has dropped about 71% from its 2025 high of $0.52 (currently around $0.15), underperforming compared to Bitcoin and Ethereum. While daily trading volume remains stable, average transaction size has declined, indicating core payment use cases persist, but speculative and high-value capital flows have dried up.

The sharp decline from $0.52 to $0.15 reflects severe market confidence issues in Stellar. Despite the RWA value surpassing $1 billion and DeFi TVL doubling, these fundamentals have failed to lift the token price. This “good news not reflected in price” phenomenon suggests the market does not believe these indicators translate into actual demand and value. Investors may question how much of the $1 billion RWA is truly in active use, and whether the TVL increase is due to real capital inflows or merely accounting effects from token price rises.

Chakravorti admits that tokenization alone is no longer a differentiator. “Last year, we focused on demonstrating that tokenization products could be built at scale. Next year, we will focus on how to allocate these assets appropriately,” he told BeInCrypto. This is arguably Stellar’s biggest challenge. Tokenized money market funds from Franklin D. Duntroon remain flagship RWA products on the network, and US banks have recently announced stablecoin collaborations.

However, other competing chains are advancing rapidly. Solana and Polygon are founding members of the Blockchain Payment Consortium (BPC) alongside Stellar, and networks like Ethereum and Avalanche continue to attract institutional tokenization projects. While Stellar’s technology is not lagging, it is being overtaken in market share and brand influence. TopNod integration and Asian expansion are Stellar’s final efforts to establish an advantage in emerging markets.

SDF confirmed that its annual Meridian conference will move to Abu Dhabi in October 2026. TopNod integration is expected to launch in the Philippines, Singapore, Japan, and other Asian markets, though no specific timeline has been provided. For Stellar, success is familiar: strong infrastructure, growing institutional interest, and a clear vision. As Chakravorti himself admits, the missing piece is large-scale distribution.