World’s leading cryptocurrency exchange Binance has published a report on how crypto and blockchain can revolutionize remittance in India on 28 March. As part of #BinanceIsGlobal the exchange is exploring the opportunities to improve the remittance services in India.
According to the blog post the exchange opinionated that India has the world’s biggest outsourcing industry that worth $150 billion. Massive amounts of cross-border money flow into the country, mainly in the form of remittances.
The report suggests last year remittedref across the world was $689 billion. Out of that India received more than 10% of remittedref, almost $80 billion. Global remittance amount are expected to grow to $715 billion in 2019 and perhaps even more in the coming years.
While transferring lot cash end up as transaction costs. According to the report $4.32 billion of the $80 billion in yearly remittances go into transaction fees. Blockchain and cryptocurrency can step in to reduce waste in terms of transferring from one country to another.
By deploying blockchain and cryptocurrencies for cross-border remittance, can reduce the remittance cost considerably and save billions of dollar every year. With the help of blockchain, individuals can transfer tokens to anyone in the world. Remitters only have to pay for the network power or technology used to send tokens. The cost for cryptocurrency transfer is much lower than the current prevailing fees in the traditional services. By implementing this, money being wasted on remittance fees can be saved. Report suggests the cost can be reduced to 99% less than the traditional system.
The exchange highlighted, as a part of building up India to be a global blockchain powerhouse is trying to build an active community in the country. India is the fourth country that the exchange has formed a community in. As a part of building the community Binance is organizing a meetup in Bengaluru which will to be held on March 30, 2019 at Cowrks, Rmz Infinity, Swamy Vivekananda Road, Bengaluru.