The remittance market was worth roughly USD 701 billion in 2020 and is expected to grow to USD 1,227.22 billion by 2030, with a CAGR of 5.7 percent from 2021 to 2030. In the face of currency depreciation, many people in emerging economies are turning to cryptocurrencies to keep their savings, send and receive remittances, and perform business transactions. Furthermore, although it accounts for almost 10% of the global population, Europe is the source of 25% of global remittances. The largest sources of European immigrant remittances are Western Europe nations.
Remittances from Europe help an estimated 150 million individuals around the world. With a focus on Ukraine, Poland, and Romania, Europe contains 19 significant remittance-receiving countries. While there has been an exponential increase in money transfers via mobile apps in recent years, the vast bulk of money flows are still sent from physical branches.
Sending money to different countries is easier with cryptocurrencies, as it is possible to transmit crypto from one location to another in seconds, regardless of international borders. In top remittance receiving nations like Ukraine (12.73 percent), Russia (11.91 percent), Belarus (3.73 percent), and Turkey (2.94 percent), the percentage of the population owning cryptocurrency is rapidly increasing. It’s worth noting that crypto remittance is 388 times faster and 127 times less expensive than traditional ways. This encourages people to move from regular wire transfers to crypto transactions.
Dr. Jane Thomason of Fintech Worldwide, an internationally recognised blockchain advocate and speaker, demonstrates how improvements in digital technology can be used to accomplish the UN’s Sustainable Development Goals.
Dr. Thomason stated, “Blockchain was recognized as one of the technologies that will accelerate progress toward the SDGs.” “Blockchain-based digital identity can help the underprivileged overcome many barriers while also facilitating higher economic growth through transaction convenience.”
Businesses that adopt cryptocurrencies can get a variety of benefits, such as providing simple, real-time, and secure funds transfer. Since cryptocurrency transactions are public, all parties can view the transaction details and immediately know the status – the blockchain stores all the data reducing transfer risk – the money cannot get lost. Publicly accessible transactions reduce third party risk as well as risk of contrahent between parties. TokenEX is proud to be a part of this growing and flourishing industry, and as a regulated entity it is compliant with all the AML and KYC regulations. All of this can be a big win-win and a huge advantage for businesses.