Ripple is making the case for stablecoins as the next big evolution in global remittances, with its own RLUSD stablecoin positioned at the center of the change.
In a recent blog post, the company outlined how RLUSD could offer a faster, cheaper, and more inclusive alternative to traditional money transfer systems.
According to Ripple, remittances sent to low- and middle-income countries totaled $685 billion last year—vital support for families and economies, accounting for about 3% of GDP in over 80 nations. But despite its importance, the remittance market is still riddled with inefficiencies: high fees, long delays, and limited access in remote regions.
Ripple argues that stablecoins like RLUSD can offer a better solution. Instead of using legacy providers like Western Union or MoneyGram, users can send funds almost instantly via blockchain using RLUSD. Recipients can then hold, spend, or convert the funds into local currency, all without needing a traditional bank account.
This streamlined process, Ripple says, slashes both costs and settlement time. It also enables access to financial services for the unbanked—a major benefit in developing markets.
Ripple isn’t alone in this vision. Payments giant Visa has already expanded stablecoin settlement across regions like the Middle East, Africa, and Central and Eastern Europe through its partnership with Yellow Card, leveraging USDC to facilitate fast cross-border payments.
RLUSD has already received regulatory approval for use in payments and remittances. Ripple is also incorporating it into broader initiatives, including a $25 million RLUSD donation to fund educational nonprofits, showcasing its potential for both utility and impact.
With regulatory clearance secured and blockchain adoption accelerating, Ripple believes RLUSD is positioned to help reshape how money moves across borders—especially in regions where outdated systems have long failed to meet users’ needs.
Editorial Team
Reporter at Coindoo
Source: https://coindoo.com/ripple-sees-stablecoins-as-key-to-transforming-685b-remittance-market/