Remittances are a huge part of the global economy but traditional money transfer services can be slow and expensive. Bitcoin offers a faster and more cost effective alternative. Could bitcoin disrupt the remittance industry and become the go to solution for cross border payments? What are the potential for bitcoin to change the way we send money internationally and what barriers still stand in the way of its widespread adoption for remittances?
No, bitcoin is not going to take over the role of Remittances or even disrupt it. Bitcoiners are always trying hard to place bitcoin in a competition with fiat by always suggesting that it may likely take over the traditional system. Bitcoin is just an alternative, the both of them are going to co exist side by side for people to choose their preferred cross border transfer option. As for bitcoin, those who care so much about privacy and decentralization would stick to it. Aside this, many may still prefer Remittances because of the following reasons:
- Volatility which will discourage many from sending bitcoin instead.
- Transaction fee
- Transaction speed and
- Stress of converting bitcoin to FIAT again before using it
Those who would not see this challenges as a big deal can use bitcoin.