Coins.ph and Circle aims to improve the remittance landscape in the Philippines by driving settlements and lowering transaction costs,
Coins.ph announced a strategic partnership with Circle to drive awareness of USDC-denominated remittances as a secure, low-cost and near-instant solution for international money transfers for Filipino users of Coins.ph.
USDC runs on multiple blockchains that provides a low barrier to entry and has minimal transaction costs, allowing it to play a growing role in facilitating cross-border payments and remittances worldwide. With a staggering $36.1 billion in remittance flows in 2022 alone according to the Bangko
Sentral Ng Pilipinas (Central Bank of the Philippines), remittances continue to be a vital
contributor to the Philippines’ economy.
However, conventional remittance channels often involve high fees and lengthy transaction times. The average cost of sending a $200 remittance to the Asia region in 2022 is 5.7%, according to the World Bank. In the Philippines, remittances are even more challenging for the unbanked, who comprised 44% of the adult population in 2021, according to the country’s central bank.
By driving real-time settlements and minimal transaction costs, Coins.ph and Circle’s
partnership aims to improve the existing remittance landscape, starting in the Philippines, the
fourth largest recipient of remittances globally. The initiative begins with educational campaigns
and community engagement initiatives to help Filipinos abroad learn to use USDC for
remittances.
“Coins.ph’s partnership with Circle aims to show how USDC can provide a faster, lower-cost and
more accessible remittance option for our 18 million Filipino users and their families and loved
ones abroad,” said Coins.ph CEO Wei Zhou. “Coupled with our recent innovations in Web3
technology, this initiative demonstrates Coins.ph’s commitment to providing users’ access to
innovative services that have a tangible impact on their everyday lives.”
“Working with Coins.ph is an extension of how Circle is making the movement of money more
accessible, inclusive and efficient,” said Raagulan Pathy, Vice President for Asia Pacific for
Circle. “By making cross-border transactions near real-time and dramatically reducing transaction costs, we support the United Nations’ Sustainable Development Goal of reducing to less than 3 percent the transaction cost of migrant remittances by 2023. Together, we’re making critical steps toward increasing economic opportunity and prosperity in the Philippines.”
