LATAM countries are the main adopters of cryptocurrencies for remittances

Remittances are a sector of the financial sector that has been growing in recent years due to the migratory situations that have been experienced, mainly, in Latin America. What has also brought as a consequence that, not only the money fiat the one that is used to carry out the transfer of money but also cryptocurrencies.

According to the interview with Jorge Pasapera, founder of Coinpay.cr, for Forbes, Global remittances increased between 800% and 900% over the last 12 months.

In addition, The issuing country from which most remittances have left is the United States to countries in Latin America and Central America. Among the countries that stand out the most are: Venezuela, Colombia, chili, Argentina, Mexico, Peru, Honduras, El Salvador among others.

The pandemic was also a factor that had a pronounced influence on remittances, according to analysis by Chinalysis, between the months of October and April 2020, the United States went from issuing USD 100 million (per month) to USD 400 million between April and May 2021 .

Like Chinalysis, Statista confirms that Venezuela, Argentina, Colombia, Brazil Chile, Peru and Mexico are the main countries that have adopted cryptocurrencies to make remittances.

However, there are problems both to acquire the cryptocurrencies and after they are sent. The first refers to paying a premium in the market for the assets digital and the second to the liquidity and time factor since, they are not usually transactions that become effective instantly after being made.

It is worth mentioning that before carrying out operations with cryptocurrencies, such as remittances, it is necessary to obtain prior information regarding the price at which the virtual currency is being quoted, as well as to carry out the exchange with reliable and secure entities.

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