Bitcoin Crushes Payment Obstacles:
Throughout history, millions, if not billions of individuals have uprooted themselves and left their native lands in search of greater opportunities in far-off territories. Entire continents and oceans are navigated daily by individuals driven by the motivation for a higher standard of living. Often such journeys are embarked upon in order to support loved ones back home.
The global transfer-ability of monetary value is a vital support
mechanism for connecting loved ones across large distances.
The Internet revolution has made world-wide, real-time communication a service people tend to expect, through technologies like email, Instant Messaging VoIP and streaming video. However, the deployment of efficient money–transfer technology has lagged behind.
In Latin America, remittances play a vital role in the economy of the region. More than $60 billion dollars are sent each year to Latin America, according to the World Bank. In 2013, Africa received $32 billion in remittances and this number is expected to increase in the future.
Africans pay more fees than anyone else
to send money to their home countries.
Sending $200 to Sub-Sahara costs, on average, $25 in fees according to the World Bank. Asia receives more than $113 billion dollars in remittances annually, the highest of any region in the world.
Enter Bitcoin, a global transaction network and unit of account native to the Internet and specifically designed to innovate the payment systems. Read more here.
How Coinapult facilitates remittances:
- Protecting users from Bitcoin volatility by using Locks. People who use remittances generally can’t afford the price swings.
- Providing SMS Wallets. In developing markets a lot of people are unbanked and don’t have the last technology, yet mobile penetration is high. Now they can send bitcoins using a cellphone capable of sending text messages.
- Saving people money. Most transactions can be processed without fees. If a fee is needed it is usually cents. By using Bitcoin, migrants can save money when they need to send funds to their home countries.
- Saving people time. Bitcoin transactions take seconds so the recipient doesn’t have to wait days to get the money.
- Helping local businesses and payment gateways integrate Bitcoin.
How might someone use Coinapult for remittances?
Samuel is living in Italy. Every month he sends 30% of his income home to Ghana. His family can’t afford the latest technology, and he can’t afford to speculate on the Bitcoin price.
By using Coinapult, Sam can Lock his bitcoins each month to secure the amount of money that his family needs. His loved ones then receive the funds to their cellphones within seconds, saving time and effort by not having to walking large distances to claim the money.
In the future, we hope to complete the remittance cycle by expanding our Locks assets, network of local SMS gateways, and local exchange partners.
Want to try sending Bitcoin by SMS? Use our quick start guide below or check out our website here.
Note: International text rate will apply for users outside of Canada.
