At the recently held B Word conference, Cathie Wood, Elon Musk and Jack Dorsey discussed digital assets, Bitcoin and the cryptocurrency industry in general. One of the topics of discussion was the usage of Bitcoin as a payment tool in the remittance industry.
You are paying in from 8% to 30% of your $100 that you send back to your family. That is a social responsibility I would submit.
ARK Invest CEO and CIO Cathie Wood has pointed out a large number of funds that the remittance market is losing because of high fees. She also noted that there are countries in which GDP largely relies on remittance only. Wood gave the example of Tonga and El Salvador. In the case of the Kingdom of Tonga, 30 percent of the GDP fully depends on remittance.
According to the Lord Member of Parliament for the Niuas, Parliament of the Kingdom of Tonga Lord Fusitu, Bitcoin-based payment gateways could save up to $40 billion in fees for developing nations. That number exceeds the entire U.S. aid budget.
Sound familiar? Lifted directly from my quote on BTC Sessions Podcast. @CathieDWood gets it - telling @elonmusk & @jack #Bitcoin will reclaim GDP of up to 30% for remittance dependent emerging markets like Tonga 🇹🇴 & El Salvador 🇸🇻 from a $700 billion annual remittance industry. pic.twitter.com/z3lFier0Tj— Lord Fusitu'a (@LordFusitua) July 21, 2021
In 2022, remittance volumes are expected to hit $556 billion even after the coronavirus pandemic, according to the World Bank's 2021 remittance report. Remittance industry fees go as high as 30 percent per transaction for a transfer as low as $100. Bitcoin and digital assets are commonly suggested solutions for expensive overseas transactions.