Blockchain to Boost Remittance Services in Asia
According to the World Bank Group’s Global Knowledge Partnership on Migration and Development (KNOMAD) initiative, the top 10 migrant destination countries were the United States, Saudi Arabia, Germany, Russia, United Arab Emirates (UAE), United Kingdom, France, Canada, Spain and Australia. The top 10 migrant source countries were India, Mexico, Russia, China, Bangladesh, Pakistan, the Philippines, Afghanistan, Ukraine, and United Kingdom.
The projections include international migrants will send US$601 billion to their families in their countries this year with developing countries receiving US$441 billion. India is the highest remittance receiving country, with an estimated US$72 billion in 2015, follows by China (US$64 billion), and the Philippines (US$30 billion).
George Harrap, CEO of Bitspark, says the Blockchain and remittance suit together. Bitspark is redesigning the settlement systems and picking up a solid lowering so as to foot in the business sector overhead expenses and passing investment funds on through lower charges. These organizations use portable and online channels to send cash while meeting consistence gauges. Utilizing bitcoin, cash movements are led progressively as the system is in charge of approving the exchanges. The exchange itself is free with commonplace expenses in the scope of 0.0001 bitcoin per exchange.
Over Asia, especially in creative markets, Bitcoin-based MTOs are springing up to catch the open door. Organizations like Bitspark (Hong Kong), Coins.ph and Rebit (the Philippines) and CoinPip are only a couple of these new businesses that have sprung up to gain by the opportunities.
“Bitspark uses blockchain to convey payments to other countries quickly, instantly and with little friction. The user doesn’t need to know anything about the intricacies of the technology in order to send the money. For them, it’s simply a cash-in and cash-out transaction. In the growth regions in Asia many of the MTOs are small businesses that may be using their own proprietary systems and processes to conduct remittance, or using the systems of a large third party as in the case of a franchise model. For customers, they don’t really need to know or care what technology is being used to send and receive the money. They just need to know that the money is going to arrive at the other end,” explained Harrap.
There is no doubt that more developments can be expected with crypto-remittance integrations. Traditional financial institutions are not standing idle in the sidelines either, so only time will show these developments when they manifest themselves. Get the latest in Asian Bitcoin news here at Coin News Asia.