August 26, 2019
Blockchain is in its element as the basis for cross-border payments technology, writes Vlad Lounegov, CEO of Mbanq.
Skeptics have had much fun pointing out that “blockchain is a solution searching for a problem.” While it is true that digital ledger technology was overhyped and over-marketed in recent years, today, blockchain has found a particular problem that it can solve extremely well: cross-border payments.
The history of remittances is fairly straightforward. Until the advent of blockchain, only two viable methods of international payments existed: through banks or money transfer operators (MTOs). Both of these types of transfer have a track record of capabilities and limitations.
The traditional banking route costs the customer an exchange rate and a processing fee of about 8–10%. Additionally, there are delays due to ...