Stablecoins like USDT (Tether) and USDC (USD Coin) are revolutionizing the way we make payments, transfers, and international transactions. Their stability and speed make them an efficient alternative to traditional banking, reducing costs and removing barriers to financial services.
1. Stability and Protection Against Volatility
One of the main issues in international transactions is the instability of local currencies. Many Latin American economies experience constant devaluation, which affects both businesses and individuals needing to make payments or receive income in a stable currency.
Stablecoins such as USDT and USDC are designed to maintain a 1:1 value with the US dollar, ensuring that the money doesn’t lose value over time. This makes them an ideal option for storing and transferring funds without worrying about exchange rate fluctuations.
Practical Example:
A freelancer in Argentina works with clients in Europe and the US. If they receive payments in Argentine pesos, their money can quickly lose value due to inflation. However, if they are paid in USDT or USDC, they maintain the stability of their income and can decide when and how to convert their money without pressure from devaluation.
2. Liquidity and Speed in Transactions
International bank transfers are often slow and expensive. Depending on the country, a transaction can take between 2 and 7 business days, not including potential holds or security checks by the bank. Additionally, many banks charge high fees and apply unfavorable exchange rates.
In contrast, transactions using USDT or USDC are completed in a matter of minutes, regardless of the sender’s or receiver’s location. This not only speeds up payments but also significantly reduces costs, as fees are typically much lower than those charged by banks.
Practical Example:
A company in Mexico urgently needs to pay a supplier in the US. An international bank transfer would take 4 business days and cost between $30 and $50 in fees. However, if the payment is made using USDT or USDC, the transaction is completed in less than 10 minutes and with fees under $1, allowing for better cash flow management.
3. Accessibility and an Alternative to Traditional Banking
Many individuals and businesses in Latin America still face challenges moving their money quickly and efficiently. Stablecoins ease this transition by allowing users to convert and send funds without banking restrictions and with complete autonomy.
Moreover, traditional banks may impose withdrawal limits, unexpected holds, and delays in fund settlement, complicating operations for those who need immediate access to their capital.
Practical Example:
A worker in Colombia needs to send money to a family member in Venezuela but wants to avoid the costs and delays of an international bank transfer. Instead of using a bank, they convert part of their balance into USDT or USDC and transfer it within minutes to their relative’s digital wallet, who can then withdraw it in local currency or keep it in dollars without the risk of devaluation.
4. Pro tip: Spend with no exchange
Avoid unnecessary exchange fees and third-party conversions when using your USDT for everyday purchases. With BELOBABA CARD, you can top up your account with any asset-crypto or fiat-in less than 20″ and spend it worldwide without the hassle of converting your stablecoins.
By loading your BELOBABA CARD with USDT, you can make purchases directly, without having to sell or exchange your stablecoins beforehand. Enjoy the flexibility and efficiency of spending without hidden fees or delays!
Conclusion
Stablecoins are transforming the way people and businesses access financial services. Their ability to remove banking barriers, accelerate international payments, and offer stability in global transactions makes them a more efficient, accessible, and cost-effective solution for the digital economy.
Whether sending money abroad, paying suppliers, or receiving income without banking restrictions, USDT and USDC represent an optimal alternative for conducting financial transactions with greater freedom and efficiency.
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