Bitcoin remittance startups become disruptors of cross-border remittance methods

Golden Finance News - Currently, most money transfer startups are using Bitcoin for money transfer and remittance transactions. Most of them charge lower rates for Bitcoin remittances, and sometimes even completely free of charge.

Buenaventura: "The most powerful application of Bitcoin may be Bitcoin remittance." Image source: Golden Finance

— For example, Luis Buenaventura, CTO of Bitcoin remittance startup Bloom Solutions, said.

"The most powerful application of Bitcoin may be Bitcoin remittances."

At least that’s the case in his country, the Philippines. The company also mentioned on its website that their goal is to provide a solution to the high fees charged by agents and dealers in the cross-border remittance market. Using Bitcoin for remittance transfers can save them at least half of the settlement fees and foreign exchange costs.

——Singapore-based Bitcoin remittance company Coinpip provides services in more than 40 countries around the world and does not charge foreign exchange or other additional fees.

Bitspark, a Hong Kong-based bitcoin remittance company that offers services in five currencies, said: “In the current competitive environment, the cost charged by bitcoin companies for a $250 transaction can be as low as 2% to 3% of that charged by traditional providers.”

Abra's business model is different from other companies. They use Bitcoin, smart contracts and P2P networks to achieve direct transfers between senders and receivers around the world, without the need for middlemen and users don't have to pay high fees. The company's recently launched App does not charge any transfer fees, has a low exchange rate, and users can deposit and withdraw funds in the form of Bitcoin.