Connect with us

Hi, what are you looking for?

Crypto

El Salvador: Money transfer providers may lose $400m to bitcoin wallet

El Salvador’s latest Bitcoin app, the Chivo Wallet, could ensure that money service providers such as Western Union and MoneyGram lose around $400m in remittance commission.

According to a report by CNBC, these remittance service providers could start losing customers and money.

CNBC’s MacKenzie Sigalos said the loss in remittance commission could be close to $400m a year.

She said, “If you want to send $10 from Canada to El Salvador via Western Union’s app = $3.24 fee; Muun [to] Chivo wallet = $0.10; Chivo [to] Chivo = free. Present Bukkele’s new bitcoin wallet could cost co’s like Western Union $400m/y.”

According to CoinMarketCap, remittances account for a $6bn industry, almost 23 per cent of the country’s GDP. And money service providers like Western Union or MoneyGram are the chosen method of remitting funds to the country.

According to official data, about 60 per cent of remittances are through companies and 38 per cent are through banking institutions.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Business

The Board of FBN Holdings Plc has announced that Mr. U.K. Eke, MFR, is poised to retire as Group Managing Director, FBNHoldings, Nigeria’s foremost...

News

The Abolongo Correctional Centre in Oyo town in Oyo State was on Friday invaded by gunmen. It was learnt that the gunmen attacked the...

Entertainment/Lifestyle

Famous Nigerian musician, Davido, on Wednesday recieved over N120m from his friends. The superstar had jocularly said he needed N100 million to clear his...

World News

  The Taliban’s effective ban on women working sank in on Monday, sparking rage over the dramatic loss of rights after millions of female...