Blockchain for Cross-Border payments
We are accustomed to fast domestic transfers. A delay of several minutes in crediting funds can cause discomfort. For businesses, transaction processing speed is also very important. Having trading accounts with instant crediting or daily transfers significantly facilitates work and allows profits to be used more quickly to boost the company’s turnover.
But what should companies operating in the international market do? They have to make transfers to other countries to pay for supplies or production. Traditional bank transfers can take 3-5 days, which can lead to disruptions in the companies’ operations. Crypto cross-border payments can solve this problem. With their help, businesses can transfer payments to most countries in the world in a matter of minutes.
The growth in popularity and demand for blockchain international payments is reflected in the statistics on the use of stablecoins. Over the past 5 years, their supply has grown from $5 billion to $305 billion. According to VISA, over the past 12 months, the total volume of retail transactions in stablecoins exceeded $61,4 billion.
In this article, we will explain how cross-border crypto payments work, how they are better than traditional banking services, and what advantages businesses gain from transfers in USDT and other cryptocurrencies.
What is blockchain
Crypto cross-border payments are based on blockchain technology.
Blockchain is a distributed database consisting of sequentially connected blocks containing records of completed transactions. This database is supported by a network of nodes (computers), each of which stores a copy of the ledger. The most important characteristics of blockchain are:
- Distributed – the absence of a single control centre reduces vulnerabilities and increases system stability.
- Immunity to change – data that has been entered cannot be changed or deleted without being noticed, as changes require the consent of the majority of network participants.
- Cryptographic protection – each change in the ledger is accompanied by a unique encrypted key that is only accessible to certain participants.
- Transparency – all participants can see the transaction history, which helps to increase trust in the system.
Thanks to these properties, blockchain has become the foundation for a whole range of new financial products and solutions.
Comparison of digital assets: cryptocurrencies, stablecoins and CBDCs
Let’s take a closer look at the key differences and areas of application for each type of digital asset.
Cryptocurrencies (Bitcoin, Ethereum, etc.)
Decentralised digital assets that have no physical embodiment and are not backed by any government institution.
Features:
- Completely autonomous and controlled by network algorithms.
- The exchange rate is determined solely by market mechanisms of supply and demand.
- High degree of confidentiality and anonymity.
Applications:
- Peer-to-peer (P2P) transfers without intermediaries.
- Cross-border payments with minimal commission.
- A means of preserving capital in conditions of unstable national currency.
Stablecoins (USDC, USDT, etc.)
Digital assets whose value is rigidly pegged to traditional (‘fiat’) currency, most often to the US dollar or euro.
Advantages:
- Resistance to sharp exchange rate fluctuations inherent in conventional cryptocurrencies.
- Transparency and predictability of value.
Purpose:
- International transfers with minimal risk of losses due to exchange rate fluctuations.
- Financial transactions in emerging markets with unstable economic conditions.
- A tool for fast transfers between users and companies.
Central Bank Digital Currencies (CBDCs)
State-regulated digital equivalents of national currencies, created and managed by central banks.
Characteristics:
- Centralised management and control by state authorities.
- Enhanced security and regulation of transactions.
Practical use:
- Domestic and international settlements between banks.
- Retail payments by the population as part of pilot programmes (e.g. the Chinese digital yuan).
- Expanding financial accessibility and inclusiveness through government initiatives.
Each type of digital asset is unique and designed to solve its own set of problems. Cryptocurrencies are suitable for maximum freedom and independence, stablecoins are suitable for stability and reliability, and CBDCs are suitable for integration with traditional financial systems under state control.
When considering blockchain for international payments, there is greater demand for stablecoins, while cryptocurrencies are used less frequently. While CBDC adoption remains relatively low, it is important to note that CBDC designs vary. Some proposals incorporate elements of transparency and limited decentralisation, though they inherently involve central bank oversight — a key distinction from cryptocurrencies that prioritise decentralised governance and autonomy from state control..
How blockchain works in cross-border transfers: ensuring the security and efficiency of international payments
Traditional cross-border payments often involve many difficulties: long waiting times, high fees, and the need to involve numerous intermediaries, such as correspondent banks. This is where blockchain technology for cross-border payments comes in, radically changing the established standards of international financial transactions.
How blockchain works in cross-border payments
Blockchain is a distributed ledger consisting of a sequence of interconnected blocks, each containing information about a transaction. Here’s how it works in the context of international transfers:
- Direct connection between participants. The sender and recipient interact directly, bypassing intermediaries, which reduces time and commission costs.
- Recording and confirming transactions. Each transaction is recorded in the blockchain and verified by a network of nodes (validators) that have reached a consensus on the authenticity of the transaction.
- Immediate fulfilment of obligations. Once confirmed, the transaction is considered complete, and the funds are instantly transferred to the recipient, regardless of the geographical location of the parties.
- Increased transparency and reduced risks. All participants have equal access to the transaction history, which eliminates the possibility of falsifying records and minimises the likelihood of fraud.
Stablecoins, digital assets whose value is pegged to traditional currencies (most often the US dollar), have become particularly important in international settlements. Coins such as USDT and USDC solve the problem of volatility of conventional cryptocurrencies while retaining the advantages of blockchain:
- Exchange rate stability. By pegging themselves to fiat currencies, stablecoins maintain stable values, which is convenient for commercial and personal transfers.
- Ease of withdrawal. Recipients can easily withdraw funds through P2P platforms or cryptocurrency exchanges, receiving the equivalent in local currencies.
- Versatility. Stablecoins are widely used and accepted by most exchanges and services, making them an attractive option for international payments.
How blockchain works in cross-border payments
The use of blockchain and cryptocurrencies in cross-border transfers has both strengths and weaknesses.
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| Advantages | Disadvantages |
| Global accessibility. Works everywhere, including hard-to-reach regions. | Limited acceptance. Not all businesses are prepared to accept payment in cryptocurrency. |
| Decentralisation. No one can freeze or confiscate funds. | Regulatory uncertainty. Some jurisdictions prohibit cryptocurrencies. |
| Security and confidentiality. Data is protected by cryptographic technologies. | Irrevocability of transactions. It is impossible to revoke an erroneous or fraudulent payment. |
| Low fees. Significantly cheaper than traditional transfers. | Withdrawal difficulties. Conversion to fiat currency is required, sometimes with losses. |
| High speed. Transactions are completed in minutes or hours. | Technical complexity. Basic knowledge is required for use. |
Many large corporations and start-ups have already recognised the potential of blockchain in international payments. For example, Ripple has used its own XRP Ledger technology to reduce the time and cost of cross-border payments for hundreds of partner banks around the world.
Comparison of blockchain transfers and traditional banking services
The use of blockchain for international payments has simplified the work of companies that often have to transfer funds to other countries. Now there is no need to use intermediaries or wait painfully for confirmation of receipt. It takes just a few minutes from sending to receiving money.
Key differences between blockchain transfers and traditional banking services
Let’s compare the two approaches based on key parameters.
Payment methods | Share of the online payment market | Features |
International credit cards | 36% | Visa, Mastercard, and American Express continue to dominate the credit card market, offering modern solutions for secure transactions. |
Debit cards | 25% | The traditional form of cashless payments remains popular, especially among the older generation and those who prefer to control their spending. |
Buy now, pay later (BNPL) services | 13% | Leaders in this segment include Afterpay, Zip and Klarna. This method allows shoppers to make purchases with the option of interest-free instalments. |
Bank transfers | 12% | Direct transfers between bank accounts are becoming increasingly popular thanks to the development of fast payment infrastructure. |
Digital wallets | 12% | Mobile apps such as Apple Pay, Google Pay and Samsung Pay are gaining popularity, especially among the younger population. |
Other methods | 2% | These include gift cards, cash on delivery and other alternative payment methods. |
A classic interbank transfer goes through a complex chain of intermediaries:
- Your bank sends a request to the correspondent bank.
- The correspondent bank, in turn, contacts the recipient bank.
- The information is transferred in stages, undergoing verification and registration at each stage.
- The entire process can take several business days, accompanied by additional costs and difficulties in monitoring the status of the payment.
Crypto for cross-border payments is changing the rules of the game. The following approach is used:
- The user initiates the transfer directly in a decentralised network.
- The request is recorded in a block and distributed throughout the network.
- Network participants confirm the legitimacy of the transaction.
- Confirmed transactions become part of a permanent and open registry.
- The money reaches the recipient instantly or within a few minutes.
The main reason for its success and popularity is complete decentralisation and the elimination of intermediaries. Instead of a long chain of institutions involved in the transfer, blockchain connects the sender and recipient directly. This eliminates unnecessary steps, reduces costs and speeds up the process.
Blockchain operates continuously, without breaks for holidays or weekends, making it an ideal tool for businesses and individuals living in different time zones.
Another important advantage of blockchain is its openness and security. Every transaction is stored permanently and can be viewed by anyone. At the same time, each record is protected by powerful cryptographic protection, making forgery or interference impossible.
Examples of use
Cryptocurrencies, especially stablecoins, have become firmly established in the global economy, becoming an effective tool for international payments. Below are some examples of crypto for cross-border payments.
Foreign payments to a contractor in Latin America
Imagine the following situation: your company works with a contractor from Argentina who is regularly paid for completed projects. Traditional bank transfers take up to five business days and are accompanied by high fees for currency conversion and the use of correspondent accounts.
The solution is to use stablecoins through a platform such as Billblend:
- Your company replenishes the account in US dollars.
- A payment in stablecoins (e.g. USDC) is initiated via a convenient interface.
- The platform automatically converts the dollars into stablecoins and instantly sends them to your partner.
- Your partner receives the funds within minutes, rather than days, without significant losses on commissions and conversions.
This approach has made it possible to speed up settlements, reduce costs and strengthen relationships with foreign partners.
Accepting payments from Asian customers on a trading platform
Suppose your trading platform sells exclusive premium goods to buyers in Hong Kong and Singapore. Traditional payment methods (credit cards, bank transfers) face problems: cards may be blocked for international transactions, and traditional transfers take a long time.
The solution is to implement a stablecoin payment option through integration with the Billblend service:
- The buyer selects the product and pays for it with stablecoins (e.g. USDT).
- The payment is instantly received by the platform and automatically converted into US dollars.
- The funds are immediately reflected in your balance, ready to be withdrawn to your bank account.
This scheme has made the payment process simple, fast and convenient for buyers, increasing sales and customer loyalty.
Payment to a supplier in Mexico via a ‘stablecoin sandwich’
Let’s say your organisation purchases components from a manufacturer in Mexico. Standard bank transfers go through long chains of intermediaries, take 2–5 days and are accompanied by numerous commissions.
The solution is a combination of stablecoins and local payment systems. Example of use:
- Your US dollars are converted into stablecoins (e.g. USDC).
- The stablecoins are instantly transferred to Mexico.
- There, they are converted into Mexican pesos and delivered directly to the supplier's bank account.
The entire process takes a matter of hours and is significantly cheaper and easier than the traditional banking route.
These examples demonstrate how effective and useful crypto cross-border payments can be:
- Speed: instant or near-instant transfers instead of weeks of waiting.
- Cost-effectiveness: minimal fees instead of high bank charges.
- Convenience: direct delivery of funds without intermediaries.
- Flexibility: the ability to quickly adapt to different markets and conditions.
Cryptocurrencies, especially stablecoins, are becoming an important element of modern financial infrastructure, opening up new opportunities for businesses and individuals around the world.
Let’s say your organisation purchases components from a manufacturer in Mexico. Standard bank transfers go through long chains of intermediaries, take 2–5 days and are accompanied by numerous commissions.
The most popular cryptocurrencies for cross-border payments
Blockchain international payments have shown how significant an impact the creation of stablecoins has had on the industry. They have retained the main advantages of cryptocurrencies, such as security, low fees and decentralised nature. At the same time, they have minimised the impact of volatility, which is why BTC, LTC, ETH and other cryptocurrencies are less commonly used in international trade.
The main reason for the popularity of stablecoins in cross-border crypto payments is their rigid peg to fiat currencies such as the US dollar or the euro. This feature makes them much more convenient and secure for international settlements compared to conventional cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH) or Litecoin (LTC), which are characterised by high volatility. The volatility of traditional cryptocurrencies makes it difficult to accurately plan and estimate the cost of transfers, which makes them less attractive to businesses and individuals.
Tether (USDT):
- One of the oldest and most trusted stablecoins, first released in 2014.
- It ranks third in the overall cryptocurrency ranking by capitalisation, with over $183 billion as of November 2025.
- It is used for instant exchange to fiat currencies, making payments and withdrawing funds.
- It is a favourite among traders and investors due to its popularity and widespread use.
USD Coin (USDC):
- Created in 2018 by the Centre consortium, which brings together Coinbase and Circle.
- It ranks seventh in terms of capitalisation among all cryptocurrencies, with a volume of about $76 billion.
- It is supported by many platforms and is known for its transparency and regulatory compliance.
- It is preferred by large companies and institutional investors due to its reliability and quality control.
In addition to the market leaders, other promising projects are worth mentioning:
- Ripple USD (RLUSD) — a new stablecoin from Ripple designed to optimise international settlements and ensure liquidity. As of 25 October, its capitalisation is $1,02 billion, ranking 75th in the world.
- Ethena USDe (USDe) is a synthetic stablecoin with yield, which has quickly gained popularity thanks to its innovative approach and attractive annual percentage yield (APY). Its total capitalisation is $8.3 billion, ranking 13th in the world as of October 2025.
These projects have not yet reached the scale of USDT and USDC, but they are showing active growth and deserve attention.
The most popular cryptocurrencies for cross-border payments
Despite the popularity and appeal of Bitcoin, Ethereum and other cryptocurrencies, their active use in international transfers is limited by the following factors:
- High volatility: Sharp exchange rate fluctuations create significant risks for senders and recipients.
- Additional complexities: The need to constantly assess the current exchange rate and potential losses complicates the planning and calculation process.
- Less convenient regulation: Most traditional cryptocurrencies do not meet the strict requirements of many jurisdictions, which complicates their mass implementation in business processes.
Stablecoins, especially those such as USDT and USDC, have become the dominant choice for crypto cross-border payments due to their stability, transparency, and ease of use. Conventional cryptocurrencies, despite their popularity, are losing out in this segment due to high volatility and associated risks. In the future, further development and expansion of the use of stablecoins is expected, which will make international transfers even faster, cheaper and safer.
How businesses can benefit from implementing crypto payments
Blockchain for international payments allows businesses to expand their presence beyond their own country. It facilitates interaction with partners and contributes to profit growth. Here are seven benefits that businesses can expect from using blockchain for cross-border payments.
Attracting new customers and markets
The use of stablecoins allows businesses to reach audiences with limited access to traditional banking services. According to the latest data, approximately 9.9% of the global population owns cryptocurrency, and 65% of them are interested in making purchases using digital assets. Major global brands such as Starbucks, Tesla, Whole Foods, and Ferrari have already implemented cryptocurrency payments and are seeing significant growth in new customers (up to 40%). In addition, the average cheque for these customers is twice as high as standard credit card transactions.
Faster settlements and elimination of cash flow gaps
Traditional international transfers through systems such as SWIFT can take up to 3-5 days, especially when interacting with emerging markets. Blockchain transfers are almost instantaneous, 24/7, with no days off. Transactions take less than three minutes to complete, dramatically reducing the gap between sale and revenue collection and improving cash flow management.
Final and predictable settlements
Once a transaction is completed on the blockchain, it becomes irreversible and is included in a permanent ledger. This protects companies from chargebacks, fraud and related losses, and removes additional administrative burdens.
Enhanced security and reliability
Over the years, blockchain has proven itself to be an extremely reliable and secure environment for storing and transferring valuable data. The use of advanced encryption allows transactions to be carried out without transferring confidential information to third parties and without the involvement of banking intermediaries.
Simplified implementation and no additional burden
Businesses do not need to understand the intricacies of blockchain infrastructure themselves. Specialised solution providers, such as Billblend, take care of all the technical aspects, providing intuitive interfaces and corporate payment solutions. Companies can continue to operate with familiar fiat currencies, enjoying all the benefits of blockchain without having to comply with regulatory requirements themselves.
Complete transparency and traceability
Blockchain provides absolute transparency of transactions, keeping a permanent record of all operations. This allows you to track payment status, maintain accurate financial records, and identify any suspicious activity in a timely manner. In addition, specialised service providers enhance security through certified mechanisms that comply with international standards and standard security protocols.
Significant cost reduction
Blockchain transfers reduce the number of intermediaries, lowering overall costs. Compared to traditional credit card fees (2–3%), blockchain payment fees range from 0.5–1%.
The introduction of blockchain for international payments provides businesses with unique opportunities to increase efficiency, reduce costs, improve customer experience, and enter new markets. This is not just a new technology, but a real strategy that helps strengthen a company’s position in the face of global competition and an ever-changing market environment.
Frequently asked questions
What are cross-border blockchain payments?
Cross-border blockchain payments are international transfers using blockchain technology based on a distributed ledger that ensures security, transparency, and high transaction speeds without intermediaries.
Why are blockchain transfers popular for international payments?
They allow you to send and receive funds almost instantly, without the long waits and high fees associated with traditional bank transfers.
What are stablecoins and why are they used more often than other cryptocurrencies?
Stablecoins are digital assets whose value is pegged to fiat currencies (the dollar, euro, and others). They are used more often because they are stable and protect against the volatility of regular cryptocurrencies.
What are the advantages of blockchain transfers over traditional banking services?
Blockchain transfers are faster (minutes instead of days), cheaper (low fees), more transparent (open registries) and available 24/7, unlike bank opening hours.
Which cryptocurrencies are most commonly used for international transfers?
Stablecoins such as USDT and USDC are the most popular due to their stability and widespread acceptance in the crypto market.
What are the benefits for businesses from implementing blockchain transfers?
Businesses benefit from faster settlements, lower costs, new customer acquisition, improved security and transparency of operations, and the opportunity to enter new markets.
