Stablecoins accelerate application, or reshape $900 billion cross-border remittance market

On January 17th, it was reported that the application of stablecoins in cross-border payments is accelerating, and the global remittance market with a scale of about 900 billion US dollars is facing restructuring. Stablecoins, with their blockchain technology, can significantly reduce transfer costs and time, posing a challenge to traditional systems such as Western Union. According to World Bank data, the average transaction fee for cross-border remittances is still above 6%, which imposes a heavy burden on low-income groups. US President Trump signed the GENIUS Act in July, establishing a federal regulatory framework for stablecoins and pushing them into the mainstream financial landscape. Traditional institutions such as Western Union and PayPal have begun to lay out related products. Analysis suggests that the competition for stablecoins will involve a three-way game between traditional financial institutions, cryptocurrency companies, and fintech platforms, and the penetration rate may increase this year.