Stellar (XLM) and USDC open new payment channels between Europe and Africa

Stellar and USDC to facilitate transfers from and to Africa

The Stellar Development Foundation (SDF) shared the news in a statement released yesterday. The payment company Flutterwave has partnered with the blockchain to offer “two new corridors for remittances between Europe and Africa”.

The market for remittances to the continent is colossal: it represented 49 billion dollars for sub-Saharan Africa in 2019. The African diaspora has become the main source of funding for the continent, and many financial services are tackling the field of cross-border transfers, which remain costly.

These are the issues that this initiative wishes to address, as confirmed by the CEO of Flutterwave, Olugbenga Agboola:

“It costs more to send money to sub-Saharan Africa than to any other region in the world. Our new payment lanes on Stellar will allow us to continue to expand the Flutterwave network. “

👉 Also discover – MoneyGram signs a partnership with Stellar (XLM) to settle payments through USDC

A service primarily intended for businesses

The service of Stellar and Flutterwave is intended for businesses that wish to make international payments. According to Agboola, it will allow “to offer profitable and essential money transfer services to African business leaders”. For this, the Stellar network is used, as well as the USDC, integrated a year ago into the ecosystem.

The Stellar Development Foundation recalls that it wishes to create equitable access to the global financial system. The solution therefore aims to develop “an efficient and affordable pan-African payment infrastructure”.

Denelle Dixon, CEO of the Stellar Development Foundation also confirms that the approach will be long term:

“Flutterwave is doing important work in a region that has been historically underserved, and the SDF is committed to helping them create a tangible impact on access and financial inclusion across the African continent and beyond. “

Africa has distinguished itself from other regions by adopting cryptocurrencies, and not just at the institutional level. Last August, a Chainalysis report indicated that Kenya, Nigeria, Togo, South Africa and Ghana had particularly adopted cryptocurrencies.

👉 To read – Nigeria: the central bank digital currency (MNBC) launched today

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About the author: Marine Debelloir

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Associate Editor on Cryptoast, I fell into the pot of cryptocurrencies a few years ago. I am passionate about the innovative technologies that arise from the blockchain and I like to find the most delicious information to share with you.
All articles by Marine Debelloir.

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