usdc + eurc = stablecoins that provide lower cross-border transaction fees + faster settlement times can enable inclusivity in financial systems.
particularly interested in seeing how stablecoins can support countries with hyperinflation + imposed sanctions that lead to significant currency devaluation + how stablecoins can offer a more stable store of value.
traditional remittance services like Western Union + MoneyGram can charge fees ranging from 5-10%, w transaction times ranging from a few hours to several days. whereas stabelcoins see transaction fees often less than 1% + immediate settlement.
however, for the global economy to utilise stablecoins its impact depends on abiding within regulatory frameworks, technological adoption + market trust.
if countries that are not within favoured legal frameworks issued for these stablecoins due to legal jurisdiction and geo-politics then does stablecoins such as usdc + eurc just benefit certain economies particularly those in western markets? and those allowed to trade with western markets?
of course there needs to be some legal enforcement to mature the use of stablecoins when it comes to international regulations like AML/KYC.
but i believe this brings up a counter argument on how more stablecoins can be pegged to wider range of currencies outside of euro + dollar and how those economies can even put together the resources for legal frameworks and the tech enablement around this to utilise and ship stablecoins.
Regardless this is a win and move towards more financial inclusion.
Stablecoin transfer volumes are spiking to the highest levels we’ve seen in the past 12 months.