Blockchains are facilitating much more transparent, faster, and efficient cross-border remittance transactions. This is due to the much faster reconciliation that the technology offers when compared to traditional payment systems. However, cross-border transactions are incomplete without cross-currency transactions.
Cross-currency transactions convert the starting or initiating currency of a cross-border remittance into a different currency, suited to the beneficiary receiving the remittance transaction. Thus, if an importer in India is paying an exporter in Germany, they may initiate the transaction in INR but may want the exporter to be paid in EUR. In traditional remittance transactions, the remittance enablers—that is, the remittance exchanges or banks themselves—provide an exchange rate to the remittor. This...
