Leading global money transfer platform, MoneyGram’s global head of product and innovation has stated that cryptocurrencies could take over the global money transferring business. He said that it was ‘highly probable’ that people will use crypto to execute cross-border money transfers.
While addressing the Institute for Robotic Process Automation and AI, Youric Bebic said,
The big secret with money transfers is the money doesn’t move. The money’s already there. We pre-fund pretty much in bank accounts all over the world and then we do value transfer. But if I were to send money from here to Mexico and literally, physically move the money at that time, it would take a lot of time.
Bebic further added that the use of cryptocurrencies could revolutionize the systems, and make sending true value across borders instantly a reality. He also claimed that with the use of digital tokens, money transferring will no longer require pre-funded foreign bank accounts, bringing more transparency in the process. Bebic said,
I do believe it is highly probable that this is the way money will move in the future. There is still a lack, again, of liquidity, and some markets are more advanced than others. We deal with a lot of exotic currencies… in Africa, for example, where I don’t see cryptocurrency really being traded in the near future. But in many places, like in Europe, like in Asia, it could actually be possible, and if it takes off we want to be a part of it.
Cross-border money transfers is a segment in which several global organizations are keen on participating in. IBM, Microsoft, MoneyGram are just a few names, to begin with. Even the social media giant Facebook’s soon-to-be-launched cryptocurrency is focused on cross-border payments and transfers.