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Cryptocurrency will replace as the Future of Remittance

Reduced demand for cryptocurrencies in smaller economies often can lead to lower bitcoin prices

There are major applications for remittance through cryptocurrency.

transactions done using cryptocurrency would result in a completely decentralized and open financial system

transactions done using cryptocurrency would result in a completely decentralized and open financial system

Cryptocurrency may replace the Future mode of Remittances

Cryptocurrency may replace the Future mode of Remittances

Finance & Investment Introduction: It was observed by the economists that a new trend of migrant workers is increasing in foreign established economies like Europe and North America to transfer money back to their home country families in the Remittance format. Researchers have predicted that there is likely to be USD 6 Trillion inflow by 2028, out of which, 50% will be transferred to Asia. The biggest fortune recipients will be the developing countries, containing a large rural population, while India was the biggest global remittance market in 2018 when USD 70 Billion was sent back to India itself. It is followed by China receiving USD 65 Billion, the Philippines USD 34 Billion. These are the three biggest global remittance markets. Apart from these three nations, Pakistan and Vietnam Asian countries also fall on the remittance list amounting to USD 22 Billion and USD 15 billion respectively. This statistic helps to understand why the remittance market of Asia in 2017 was around USD 258 Billion.

This Issue: Even though a considerable quantity of money is being transferred to these economies, a majority portion is taken away as transaction and service charges. In several developing economies, each penny is counted, because many families receive remittance amounts to cover their essential expenses. Hence, transaction fees eat away a main portion of the money leaving margins of 2.5% to around 15% in developing world markets.

The Cryptocurrency introduction has led to easy ways and safer transactions when there are still various security issues that must be resolved. They will be sorted out in the future as per the researchers, indicating the time period of 2030, when Bitcoin will turn out to be the 6th biggest global reserve currency market to lead to grab the mainstream place in our society and hence, the economy.

eToro is an official website and the global leading platform for Bitcoin investment and other cryptocurrencies. It is safe and permits someone to buy/ sell Bitcoins and cryptocurrencies, sitting at home and also with minimum investment.

A digital wallet Bitcoin is needed to send, store, and receive the cryptocurrency under consideration. Keeping Bitcoins safe, is very important, because, the internet is filled with numerous bad and good technicians. The hackers can easily access anybody’s Bitcoin wallet and acquire their Public Key, the username and Private Key, the password. Hence, one should ensure that a proper and secure Bitcoin wallet of our choice is obtained, to be secure.

The sending money home amounts to a loss of part of the funds given as fees is producing a main dent in the remittance role and it plays a crucial part in the global economical growth.

Future prospects of cryptocurrency

Investors have many usual perceptions regarding bitcoin and related cryptocurrencies. For implementing an economic growth structure and also for decentralizing currency, the financial transaction network has shown a fiery rise in cryptocurrency demand, mainly Bitcoin. Even though Bitcoin has become highly prominent presently, there are many different cryptocurrencies that continue to be present and they are gaining increasing value and substantial recognition like Ripple, Litecoin, Ethereum, and so on. The prime growth seems to be positive, the future economic outlook for cryptocurrency appears as if the majority portion owned by people is purchased without completely understanding its application and the concept. There is another roadblock by understanding the adoption level of companies and vendors due to the skeptical features of cryptocurrency. This factor has altered the value of Bitcoins that have changed the bitcoin value of USD 0.08 per unit in August 2010 to as high as USD 17,746.87 in September 2017, within seven years. Despite the currency, volatility has not yet been addressed because of the absence of a regulated law regime and also because of signals in market sentiments. The validation and security offered for bitcoin to allow any sturdy position of cryptocurrency appear to be the highly stable and secure financial medium for the future. When all transactions are performed using cryptocurrency, it can result in an entirely decentralized format and open further financial methods that may be entirely be powered by the transaction network to ensure no agency gains by such an unsavory and unfavorable process. Having these benefits, remittances through cryptocurrency may provide a major application process. This new trend has commenced already and observed a remarkable growth in China and South Korea, where the companies aim to utilize cryptocurrency means to remit and transact. This trend is believed to be put into operation shortly in Malaysia as well.

This content is accurate and true to the best of the author’s knowledge and is not meant to substitute for formal and individualized advice from a qualified professional.

© 2021 Shyam Gokarn

Comments

Shyam Gokarn (author) from Alagundagi Heights, Hubli, 580032, Karnataka, India on September 04, 2021:

By compulsion, not my mistake

Keith Abt from The Garden State on September 04, 2021:

Why is this posted under "Television & TV Shows?"

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