Stablecoin remittances are gaining momentum as VirgoPay, a subsidiary of VirgoCX Global Holdings, partners with Vaulta to launch a stablecoin-based remittance application. Historically, cross-border payments have been slow, expensive, and inaccessible, especially in regions with unstable banking infrastructure. VirgoPay aims to address these challenges by utilizing stablecoins to offer faster, more affordable, and secure financial solutions.
Scheduled for launch in May 2025, VirgoPay will simplify the process of sending funds across borders for global users. Users can add funds using traditional local payment methods or directly from a cryptocurrency wallet, choose their preferred currency, and track the status of their payments in real-time. Recipients will have access to the funds in their chosen currency upon completion of the transaction. By integrating Vaulta’s blockchain infrastructure, payments can be settled in seconds rather than days.
The rebranding of EOS to Vaulta has sparked new interest in the digital coin, which had struggled for seven years before witnessing a considerable surge. Stablecoins are increasingly being used for cross-border payments and remittances due to their efficiency and cost-effectiveness. They help users save up to 70% on fees compared to traditional remittance services, with transaction fees often less than 1% as per World Bank data. In 2023, $10.8 trillion worth of transactions were settled via stablecoins, with a significant portion coming from cross-border payments and remittances.
The initial rollout of VirgoPay will focus on key global corridors such as the United States, Hong Kong, Canada, Argentina, Brazil, and Australia, with plans to expand into South America and the Middle East in subsequent phases. This development is expected to benefit the remittance industry, projected to exceed $1 trillion in volume by 2029. The partnership between VirgoPay and Vaulta exemplifies the potential of combining stablecoin technology with advanced blockchain infrastructure to create efficient, accessible, and cost-effective financial solutions globally.
In conclusion, the collaboration between VirgoPay and Vaulta represents a significant advancement in the use of stablecoins for cross-border payments and remittances. With the launch scheduled for May 2025, the initiative is poised to simplify the process of sending funds across borders and offer users faster and more affordable financial solutions. By leveraging stablecoin technology and blockchain infrastructure, VirgoPay aims to revolutionize the remittance industry and provide a more efficient and accessible way for individuals to transfer funds globally.
