At Stables, we understand the importance of remittances in the global economy, particularly for developing countries. These funds, sent by individuals working abroad to their families back home, often serve as a lifeline for families and contribute significantly to the recipient country's economy.

We also understand the challenges associated with traditional remittance methods, such as high fees, slow processing times, and complex procedures. That's why we are proud to offer stablecoins as a more efficient alternative for our tech-savvy and crypto-native audience.

So how are we looking to help remittances catch up with the digitization of the rest of the financial payments space, and how can this be shifted from fiat to stablecoins over the coming years?

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What are Stablecoins?

You may have heard of cryptocurrencies, but have you ever heard of stablecoins? They're a new type of digital asset that's designed to keep a stable value. This makes them perfect for transactions and remittances. 

Through a variety of methods, stablecoins maintain their value by ‘pegging’ to fiat currencies such as the US dollar, commodities like gold, or using fancy algorithmic mechanisms. If you're keen to read more about stablecoins, check out our in-depth blog post for more info.

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Fast, low-cost stablecoin transactions

Stablecoins are the future of money. They move across borders in seconds, saving you time and with way lower fees. Due to their lower transaction fees, you keep more of the money you want to send to the people you care about, whether they're on the other side of the globe, or sitting next to you in a cafe. It's a no-brainer for anyone looking to streamline their financial transactions.

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Transparency and accessibility

At Stables, we believe in the power of blockchain technology to promote transparency and accessibility in the financial world. With stablecoins, every transaction is traceable and secure, reducing the risk of fraud. You can view every payment you make or receive, thanks to the blockchain - meaning you know exactly where the money has come from, or where it’s going to.

The best part? Stablecoins are accessible to anyone, regardless of their banking situation. This inclusivity is crucial for those in underserved regions who depend on remittances to support themselves and their families.

This is especially important in certain locations around the globe, as large amounts of the population can be under-banked or completely banned from the traditional financial system, including not being able to open a bank account due to lack of documentation or fixed address, or having bank accounts closed down with no explanation.

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Security aspects of stablecoin transactions

We know that financial security is key - which is why blockchain technology is at the foundation of our platform (and at the core of stablecoins generally).

The decentralized nature of blockchain makes it incredibly secure, so you can trust that your funds are protected from hacking and tampering. When you use stablecoins for remittance transactions, you can feel confident that you're sending and receiving money safely and securely.

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Real-World Use Cases and Success Stories

🇵🇭  Philippines

The Philippines has seen a remarkable shift towards using stablecoins for remittances, offering a faster, more cost-effective solution for Overseas Filipino workers (often referred to as OFW) to send money back home.

With traditional remittance methods often subject to delays and high fees, USD-backed stablecoins have emerged as a game-changer for Filipino families who rely on these funds for their daily expenses and future aspirations.

At Stables, we’re also a part of this real world use case, as we allow for our users to send and transfer USDC and USDT across multiple different blockchains, as well as the withdrawal of Philippine Peso (PHP) into local e-Wallets and bank accounts. 

This has helped accelerate this movement in the Philippines, as it was estimated that as recently as 2021 around 44% of the adult population in the Philippines were still without a bank account.

To find out more about onramps and off-ramps to the Philippines with Stables, read all about it here.

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🇦🇷 Argentina

Inflation-plagued Argentina has embraced stablecoins as a hedge against its volatile national currency, the Argentinian Peso. Argentinians have historically transacted in US-dollars in an attempt to protect their savings and purchasing power.

This has become even easier thanks to stablecoins (and cryptocurrencies more broadly), with the ability to digitally store their wealth, amidst economic uncertainty, stablecoins can provide those in Argentina with both a safe haven for wealth preservation, as well as fast cross-border transactions.

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🇧🇷 Brazil

Brazil has witnessed the rise of stablecoin-based remittance services, providing a lifeline for families receiving funds from abroad. The country's diverse population includes many who have migrated for work opportunities.

For them, stablecoins can offer a secure and efficient way to support their loved ones back home, fostering economic stability across sender and recipient households, meaning money can be sent in minutes rather than days or weeks.

Stablecoins are shaking up the remittance game, and the future looks bright. With each passing day, technology and regulations are evolving, opening up new possibilities for stablecoin innovation and adoption.

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🌐 Governments

Even governments and financial institutions are taking notice and could soon integrate stablecoins into their policies through Central Bank Digital Currencies, or CBDCs. This is great news for the global economy and the future of cross-border payments.

Enhanced security measures, improved user experiences, and expanded use cases are all beginning to happen for stablecoins and their issuers (such as Circle and Tether). With partnerships between stablecoin providers and financial institutions, traditional finance and crypto are finally starting to merge. It's never been easier to access and use stablecoins for remittances.

In fact, here at Stables, we’ve partnered with Mastercard to provide fiat settlement in over 130 countries from a stablecoin balance in USDC. For our customers with a Stables Mastercard, this means your USDC will be automatically converted when you spend - pretty slick!

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Conclusion

Stablecoins are cementing their position at the forefront of the remittance revolution. These game changers offer speed, cost-efficiency, security and accessibility, making them the preferred choice for sending money across borders, and their impact on global economies is undeniable.

As the future unfolds, stablecoins will continue to play a pivotal role in shaping the world of international transactions and remittances.

Whether you're sending funds to support your family or looking for a reliable way to make international payments, stablecoins pave the way for a faster, more secure and affordable future in finance. Step into the future today and explore the world of stablecoin-powered remittances.

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Get started with Stables

‍Download the Stables app now - and experience the speed and security of stablecoins today.