Many new investors are starting to prefer cryptocurrencies for their cross border remittances

It goes without saying that cryptocurrencies have been able to garner some incredible attention. In less than five years, cryptocurrencies were able to reach a total market cap of over $2 trillion. The rising prices and ROIs allowed them to bring in even more investors than people initially thought.

Of course, people have been able to find other uses for cryptocurrencies, other than as just an asset. Instead, investors have used their assets to make a variety of online purchases, and even buy goods from brick and mortar stores. And as more companies started seeing investors use cryptocurrencies as a means of currency, they started accepting it. Even countries have started making way for cryptocurrencies as a whole.

But other than using it as a currency or as a dedicated asset, most investors have even started to use it as a way to transfer currency from one country to another. In fact a recent survey shows the extent of which people use cryptocurrencies as an exchange.

The survey states that people who were sending money outside the country increased the money they sent by 60%. The increased amount is a direct response to the pandemic and how it affected the lives of everyone. And with close to $75 billion going out of the country through remittances, it is obvious that people will not ignore a chance to increase transaction speeds and lower costs.

And with the help of cryptocurrencies, investors will be able to do exactly that. Through cryptocurrencies, people will be able to send money across the border at a cheaper and a much more affordable price.

Initially, Ether was the crypto of choice when looking to send money to another country. However, recently Solana has been scratching that trading itch for most people with its faster tech and much cheaper prices. In fact, most people can make multiple transactions on the Solana network for the fraction of the cost that it would take to make a single transaction on ether.

Credit cards, bank transfers, and PayPal are making up the bulk of the remittance transactions till today. However, as more and more people are getting access to cryptocurrencies, they are looking to use them to send remittances.

The study also highlights that over 51% of consumers that are making P2P cross-border payments are holding cryptocurrency. Almost half of all consumers who have bought cryptocurrencies use them for some sort of transaction. And since these transactions are both faster and cheaper than bank transfers, it is obvious that people will use them instead. The study shows just how effective cryptocurrencies can be in the long run and how much they can benefit investors.