THE NEW MONEY HIGHWAY: HOW STABLECOINS AND BLOCKCHAIN ARE REINVENTING CROSS-BORDER PAYMENTS

Moses Abayomi Durosaro

For decades, sending money across borders felt like pushing water through a narrow pipe—slow, expensive, and full of friction. Anyone who has ever tried to send ₦200,000 to a relative in the UK, or receive $500 from a client in Canada, knows the familiar frustration: high bank charges, long wait times, mysterious deductions, and endless KYC requests.
But a quiet revolution is underway—a technological shift that is fundamentally rewriting the rules of global money movement. From stablecoins to blockchain payment rails and a new generation of fintech remittance tools, cross-border payments are finally entering the age of speed, transparency, and efficiency.
Welcome to the new money highway.

THE PROBLEM WITH TRADITIONAL CROSS-BORDER PAYMENTS

The old system relies on a web of correspondent banks—each taking a cut as money moves from Point A to Point B. A single transfer might pass through three or four intermediaries before arriving at its destination.
A Nigerian freelancer who receives $1,000 from a US client may lose:
• $40–$70 in bank charges
• 2–4 days waiting for settlement
• Additional deductions based on exchange rate spreads
Multiply that by millions of global remittances, and you understand why the world began searching for alternatives.

ENTER BLOCKCHAIN: A NEW RAILWAY FOR MONEY

Blockchain technology creates a direct, programmable pathway for transferring value from one person to another, eliminating multiple middlemen.
Think of the old banking network as a long road with toll gates.
Blockchain is a straight, open expressway.
Example:
Sending money using a blockchain network like Solana, Stellar, or Lightning costs between ₦10 and ₦100, regardless of distance. Settlement happens in seconds, not days.
For global businesses, migrant workers, freelancers, and importers/exporters, this speed is transformative.

THE RISE OF STABLECOINS: DOLLARS THAT MOVE AT INTERNET SPEED

Stablecoins are digital currencies pegged to stable assets—usually the US dollar. The most widely used include:
• USDT (Tether)
• USDC (Circle)
• PYUSD (PayPal USD)
• FDUSD (First Digital USD)
Unlike volatile cryptocurrencies like Bitcoin, stablecoins are designed to maintain value. Their biggest strength is speed and low cost.
Practical Example: Nigeria to Ghana
Sending $500 through a commercial bank might cost:
• ₦12,000–₦18,000 in transfer fees
• 2–4 days waiting
Sending the same amount via stablecoins:
• Cost: less than ₦300
• Settlement: under 10 seconds
The recipient can instantly convert it to cedis, naira, or hold it in a dollar-pegged wallet.
This is why stablecoins processed over $1 trillion in payments globally last year—more than PayPal.
WHY AFRICA IS LEADING THE SHIFT
Africa is one of the world’s biggest remittance destinations. Nigerians alone receive billions of dollars annually from the diaspora. Yet African migrants pay some of the highest transfer fees globally, sometimes as high as 15%.
This pain created a unique environment where blockchain adoption is not about speculation—it’s about survival and efficiency.
Examples Across the Continent
• Kenya and Tanzania: Small exporters now receive payments in USDT instead of waiting on slow cross-border bank transfers.
• Zimbabwe: Stablecoins provide a store of value against local currency volatility.
• Nigeria: Freelancers increasingly ask foreign clients to pay in USDC to avoid FX bottlenecks.
• Ghana: Importers buying goods from China now use stablecoins to settle suppliers within minutes.
In short, Africa is no longer waiting for Western financial institutions to modernize—Africans are innovating around them.
FINTECH REMITTANCE TOOLS: WHEN TECH JOINS HANDS WITH TRADITION
New fintech companies are building tools that use blockchain behind the scenes while providing smooth, user-friendly interfaces.
Examples include:
• Crypto-powered payment cards
• Wallet-to-wallet global transfer apps
• Cross-border payroll solutions for remote workers
• Hybrid banks offering both fiat and stablecoin settlements
These platforms eliminate slow correspondent banking routes and reduce reliance on SWIFT.
Real-World Illustration
Olamide, a Nigerian software engineer working remotely for a UK company, previously received her salary through international wire transfers. She often lost up to 10% due to bank charges and FX losses.
With a blockchain-based payroll tool:
• Her salary arrives in USDC
• She converts to naira at competitive rates
• Her transaction fees drop by over 90%
For thousands of African remote workers, this is financial liberation.

BLOCKCHAIN PAYMENT RAILS: NOT JUST FOR INDIVIDUALS

Businesses are also plugging into blockchain rails to reduce operational costs.
Example: Importers and Exporters
A trader importing electronics from Dubai can settle invoices using stablecoins. Both sides confirm payment within minutes. No bank delays. No additional correspondent fees.
Logistics and Shipping
Shipping companies are using blockchain to track payments across ports, allowing drivers, suppliers, and handlers to receive funds instantly.
NGOs and Development Agencies
Organizations are delivering aid faster using stablecoins, especially in communities where banking systems have collapsed.

REGULATORY LANDSCAPE: GOVERNMENTS WAKE UP

Governments across the world are noticing the shift.
• The US is setting clearer rules for stablecoin issuers.
• The EU introduced MiCA, a comprehensive crypto regulation framework.
• Singapore, Hong Kong, and UAE have built friendly regulatory environments for blockchain finance.
• In Nigeria, the government lifted restrictions on crypto transactions and introduced new licensing rules for virtual asset providers.
The shift is clear: instead of fighting digital assets, regulators are establishing rules to manage them.

THE IMPACT ON REMITTANCE COMPANIES AND BANKS

The traditional remittance industry—dominated by players like Western Union and MoneyGram—is under pressure.
Why would a migrant worker pay $15 to send $100 home when blockchain tools can do it for less than a dollar?
Banks, too, are responding:
• Some are exploring blockchain partnerships
• Others are introducing faster local settlement systems
• Many are building digital dollar products to avoid losing relevance
The competition is good for the consumer.
RISKS AND CHALLENGES
Like any major shift, the new cross-border payment revolution faces challenges:
• Regulatory uncertainty can slow adoption
• Fraud risks exist in poorly managed platforms
• Digital literacy remains low for some populations
• Volatility in broader crypto markets creates fear
However, stablecoins—due to their dollar peg—have proven more resilient and less volatile than mainstream cryptocurrencies.

THE FUTURE: MONEY WITHOUT BORDERS

The next decade will likely see:
• Banks settling international payments via blockchain
• Governments launching their own digital currencies
• Remittance fees dropping to near-zero globally
• Businesses paying suppliers instantly, across continents
• Migrant workers sending money home in seconds
• Remote workers receiving global salaries without FX stress
Money is becoming like email—instant, cheap, and borderless.

CONCLUSION: THE WORLD IS MOVING TO FASTER RAILS

Cross-border payment innovations are not a luxury—they are a necessity.
In a globalized world where people, businesses, and ideas move fluidly, money must move with the same speed.
Stablecoins and blockchain rails are not replacing traditional finance—they are upgrading it.
Just as mobile banking transformed Africa’s local payments, blockchain is now transforming its international payments.
A new era has begun: one where borders no longer slow money down, and where the cost of sending value across the world continues to fall.
The money highway of the future is fast, digital, affordable—and already here.

Durosaro, a tax and payroll expert and founder behind TaxCrowdy and NexHRM, writes from Lagos