5 Benefits of Stablecoins for Crossborder Payments

Cross‑border money is still too expensive. Globally, remitters pay an average of 6.49% average cost, which is a bite out of household budgets before funds even arrive.

Despite years of reform, that remains well above the UN’s 3% SDG target for remittance fees.

Meanwhile, stablecoins—the “boring” crypto that aims to track fiat currencies—have become a dominant rail for moving value online; recent analytics show they account for 60% of on‑chain volume. This momentum spans emerging and mature markets alike, reflecting demand for predictable value and smoother cross‑border transfer rails for households, contractors, and SMEs.

What’s driving the shift? Stablecoins can move funds with fewer intermediaries, near‑instant clearing, and always‑on availability, while preserving auditability on public ledgers. And the rails are mainstreaming: Visa has announced expanded settlement support for additional USD‑backed stablecoins and chains, plus EURC, evidence that global networks are integrating stablecoin settlement into real‑world payment flows.

In the sections that follow, we’ll unpack five concrete benefits of using stablecoins for crossborder payments—lower costs, faster settlement, value preservation, and broader financial access—so you can determine where they fit in your global payout strategy.

Lower Fees on Global Remittances and B2B Payouts

For a typical $200 transfer, the global average cost was a 6.4% average in 2024—money lost before families or suppliers see a cent. Those costs stack up across both consumer remittances and business payouts, especially in emerging‑market corridors.

Policymakers have set a clear benchmark: bring the cost of a standard remittance down to 3% by 2030. Stablecoin rails help close that gap by minimizing intermediaries and avoiding hidden FX spreads where possible, especially when senders and recipients can hold value in the same currency.

At the rail level, blockchain transaction costs are tiny. On Solana, the base fee is 5000 lamports per signature—fractions of a cent—so the biggest savings potential comes from removing cross‑border wire fees and compressing FX margins. In practice, achieving low all‑in costs requires efficient on/off‑ramps, but the available envelope for savings is far larger than on legacy rails.

The same pressure shows up in B2B. Even at scale, cross‑border business payments averaged a 1.6% B2B average in 2024, with many emerging‑market corridors priced above reform thresholds—creating room for cheaper, programmable payout flows. Case studies underscore the end‑to‑end effect: BCRemit reports approximately ~1% fees (including FX and operational costs) after moving remittances onto USDC, while cutting processing from days to seconds.

The result: when on/off‑ramps are optimized, stablecoin payouts can push total costs toward reform targets—helping families keep more of what they earn and enabling companies to pay global teams more efficiently.

Key Takeaways:

Stablecoin rails reduce intermediaries and FX markups, making sub‑3% all‑in costs realistic with good local ramp partners.
Rail‑level fees are near zero; the big levers are FX pricing and last‑mile cash‑out design.
Businesses and remittance providers already report ~1% outcomes in select corridors, indicating credible, scalable savings potential.

Faster Settlement and 24/7/365 Availability

Stablecoin networks now serve millions of users transacting across borders around the clock at low cost—bringing “instant” from theory to day‑to‑day reality.

Unlike legacy rails that depend on bank windows, stablecoins clear on public blockchains that don’t close. Policymakers are pushing legacy infrastructure to catch up: the G20 speed benchmark aims for funds to be available to recipients in 75% within one hour by end‑2027, a target stablecoin rails can already meet when end‑points are crypto‑native.

SWIFT has improved processing, with 90% within an hour reaching the destination bank—yet beneficiary crediting can still vary due to local system hours and cutoffs. Always‑on blockchains sidestep that timing gap, enabling teams and families to move value nights, weekends, and holidays.

Central infrastructures are inching toward “always open” as well. The Federal Reserve has proposed expanding Fedwire to 22 hours per day, reflecting the direction of travel—while stablecoin rails are already there. Enterprises are taking note: Visa’s USDC settlement pilots helped reduce the time and complexity of cross‑border settlement versus days‑long currency conversion and wires.

For global payrolls, remittances, and supplier payouts, the outcome is simple: faster receipt with fewer timing surprises, so money is available when it’s needed—not just when banks are open.

Key Takeaways:

Stablecoins run continuously, clearing value without dependence on bank/RTGS operating windows.
Policy targets like “75% within one hour” show where legacy rails are headed; stablecoin rails can already deliver that with crypto‑native endpoints.
Enterprises are adopting stablecoin settlement to compress “days‑long” cross‑border processes into near‑real‑time flows.

Value Preservation in High-Inflation and FX-Controlled Markets

When currencies slide and FX windows tighten, people reach for digital dollars. In Argentina, stablecoins account for a dominant 61.8% share of crypto transaction volume—evidence of households hedging against devaluation.

Zooming out, the IMF finds stablecoin activity is most concentrated where inflation and FX frictions bite hardest, with 7.7% in LAC relative to GDP. The pattern is clear: when local currency weakens and access to dollars is rationed, users adopt dollar‑denominated tokens to preserve purchasing power.

FX shortages make this even more practical on the ground. In Sub‑Saharan Africa, stablecoins now represent about 43% share of all crypto transaction volume, functioning as working capital for SMEs and a store of value for households. Policymakers note the trade‑offs: foreign‑currency stablecoins can drive currency substitution and enable circumvention of capital controls if crypto channels remain open, which is why regulatory guardrails matter.

Users also need to weigh peg mechanics. While high‑quality reserves can support stability, the BIS reminds us that achieving value parity consistently is not guaranteed—another reason to prefer regulated, well‑backed issuers and reliable on/off‑ramps.

Bottom line: in inflationary and FX‑managed markets, dollar‑stablecoin payouts can help workers and vendors hold value through volatility until they choose to convert locally.

Key Takeaways:

In high‑inflation, FX‑controlled economies, adoption skews to dollar stablecoins as a practical hedge against local currency risk.
Concentration is highest in regions with the most pressure (e.g., Latin America, Sub‑Saharan Africa), where stablecoins serve as store of value and working capital.
Policy and risk awareness matter: peg quality and sensible regulation underpin safe, durable value preservation benefits.

Financial Access and Transparent, Programmable Payouts for Developing Nations

Remittances remain a lifeline for low‑ and middle‑income countries, totaling $656 billion in 2023—yet too many recipients still lack affordable, direct ways to receive and use funds.

Programmable stablecoin payouts close this access gap by sending value to a wallet that can execute rules automatically—think eligibility checks, release schedules, and spending controls—on shared rails. Central bank research notes that DLT can create shared ledgers that reduce reconciliation friction and enable automation. Crucially, these payouts can meet people where they are: mobile‑money ecosystems now count two billion registered accounts worldwide, giving recipients familiar agents and channels to cash out or spend locally.

Humanitarian programs have already proven the model. UNHCR piloted USDC cash assistance delivered directly to recipients’ wallets, with the option to convert to cash at MoneyGram locations—no bank account required. The same mechanics can support NGO stipends, gig‑platform payouts, and contractor payrolls, with real‑time distribution records and programmable “guardrails” that match each use case.

Transparency is a feature, not a footnote. Public chains create an auditable trail of disbursements and receipts; even U.S. authorities emphasize that analysis of public blockchain data can help mitigate financial crime risks—an oversight advantage compared to opaque cash channels.

The result is simpler: with stablecoins, institutions can deliver money directly, visibly, and under programmable rules—expanding access while strengthening control over how, when, and to whom funds flow.

Key Takeaways:

Stablecoin disbursements reach recipients directly via wallets and mobile‑money agents, expanding last‑mile access without bank accounts.
Programmable payouts on shared ledgers reduce reconciliation work and let organizations automate eligibility, release timing, and spending rules.
Public‑ledger transparency supports auditability and compliance, improving oversight versus cash-based distribution.

Turn Stablecoin Benefits Into Real Payroll Wins with Bitwage

You’ve seen how stablecoins cut fees, accelerate settlement, preserve value, and expand access. Bitwage turns those advantages into a turnkey payroll and payouts stack for teams in nearly 200 countries—offering same-day stablecoin or local-currency payments, W-2–compliant payroll, the ability to fund in crypto while paying in fiat or crypto, plus streamlined invoices, expense tracking, and automated accounting. It’s all backed by a spotless 10-year, zero-breach security record and a proven track record processing over $400 million for 90,000+ workers at 4,500+ companies.

Ready to put stablecoin efficiency to work across your cross-border payrolls and contractor payouts? Start before your next pay cycle to reduce costs, speed delivery, and keep every transaction audit-ready. Signup for Crypto Payroll today!