Circle Collaborates with Philippine Crypto Exchange to Promote US Dollar Coin Remittances
Circle plans to work with Coins.ph, a cryptocurrency exchange in the Philippines, to speed up transfers using USDC, Circle’s stablecoin.
Coins.ph, a cryptocurrency exchange headquartered in the Philippines, has joined with Circle so that customers may send money back home using Circle’s USDC stablecoin.
Traditional methods of transacting across borders, such as bank transfers, have proven very difficult. A news statement issued by Circle states that the USDC issuer’s goal with this relationship is to speed up cross-border remittances.
As of 2022, the Philippines ranked as the fourth biggest receiver of remittances, according to statistics compiled by Statista. Its remittances were $38 billion last year, up 3.4% from 2021.
The World Bank reports that the regional average for sending $200 is 5.7%. If Circle is successful in lowering this fee, it will ease the burden on remittance receivers in the Philippines.
Circle has pledged to reduce remittance charges from 5.7% to less than 3% via their partnership with Coins.ph. Stablecoin was tested for remittances by a number of different organizations, including Circle.
According to a July article by BeInCrypto, Shinhan Bank of South Korea successfully concluded a stablecoin remittance proof-of-concept pilot on the Hedera Network. Stablecoin is being used throughout Latin America in an effort to curb the region’s rampant inflation and ease the process of sending money home.