Introduction
Remittance settlement time is 300 times faster than the traditional money transfer methods. Did this fact surprise you? Then stay with us. We have several other facts that are far better than what we just mentioned.
Remittance is one of the biggest industries in the world. The current market capitalization of the remittance industry is more than $700 Billion. The market cap is expected to grow over $900 billion by 2026.
Remittances here refer to the money transferred by the migrant workers back to their homes. The whole process consists of several channels that perform together to complete one network. This network is the staple of the remittance industry.
Remittance industry consist of the following elements:
- Banks.
- Operators.
- Mobile network Operators.
- Third-party groups.
Over the past couple of years, the remittance industry has experienced significant growth. You can say that digital marketing has played an important role.
Remittance Market Outlook- 2026
The market capitalization is equivalent to some of the best industries in the world. And the market cap seems to be increasing at a rapid pace. The reason is the migrant population working and sending money to their family. To do so, they use the banking facility that supports the remittance industry.
Though this faculty helps the migrant send their hard money to their family, it also deducts a fair share of the amount for their services. This has made people seek new transaction methods that can reduce the cost of the transaction. This is where the Cryptocurrency and blockchain come into the frame.
Top Impacting Factor Of The CryptoCurrency On Remittance industry
Here we have enumerated the top factors of Cryptocurrencies that might influence the remittance industry for the betterment of migrant workers.
Reduced Transfer cost
With the new technologies introduced in the market, it has become easier for migrant workers to send their money back to their families. The technologies that have influenced the remittance industry are as follows:
- Mobile phone technology.
- Digital money transfer.
- Instant payments.
- Auditability.
- Distributed ledgers.
- Electronic identifications.
All the technologies mentioned above have a new method of transaction. And it is believed that adaptation of the digital remittance can help the workers reduce the cost of the transaction.
However, this practice is still in its early phase and has several barriers, risks, and overhead costs. Also, you have to complete your KYC (Know Your Customer) for security reasons.
Due to the low-cost management, banks and money transfer operators are adapting to the digital remittance system to offer their customers better service at a low cost. Furthermore, integration of the new technology and government-led awareness campaign, people are now more aware than they have ever been before.
For instance, you can use a platform like https://bitcoinfastprofit.com to send and receive payments. With the help of this platform, your transaction will not only be fast, safe, and secure, but you will also have to pay less for the transaction fees.
Rise In Internet uses
The rise in the internet user and mobile penetration in the market is expected to produce and create more lucrative opportunities for the people. For instance, the world has more than 4.6 billion internet users and more than 3.5 billion smartphone users. This huge number can be used to create a digital transaction network.
With the rise of internet users and mobile penetration in the market, we would be able to see more and more people using digital platforms to transfer money.
There are several banks that have created a new network solely for the remittance industry and transferring money from one nation to another. This practice might be the game-changer in the field of remittance.
Furthermore, no banking sectors are offering their services in the form of software applications that can be linked with your bank with simple steps, and you can directly transact money from your bank accounts.
The Bottom Line
Remittance is a growing industry, and with the increase of the digital working space and remote workers, this industry will keep on growing. Hence, it becomes very important that the market pays close attention to the remittance industry as well.
What are your thoughts on this? what other ways Cryptocurrencies can change the remittance industry.