Find the best broker for your trading or investing needs Though leading cryptocurrency bitcoin is facing crackdowns by various governments across the globe, it’s experiencing a surge in the overseas remittance market. Instead of being used as a currency, bitcoin is increasingly being used as a medium for global money transfers.

It allows the user to do away with the high costs charged by traditional banks and money transfer services. Many people around the world regularly send money to their families and loved ones living far away in their respective native countries.

The latest report by the World Bank projects that global remittances topped $596 billion in 2017, of which $450 billion was sent to developing nations. India is expected to retain the top spot among remittance recipients, with a projected figure of $65 billion, while China ($63 billion), the Philippines ($33 billion), Mexico ($31 billion), and Nigeria ($22 billion) hold the next spots on the list.

(For more, see Three Things to Know About the Remittance Economy.) The traditional model of remittance works as follows. An individual working in the U.S. may remit a dollar amount to his/home home country in Asia or Africa, for example.

He/she walks into a shop called a Money Transfer Operator (MTO), hands over cash at the available exchange rate, and then the MTO starts the process to send the money to the destination country. The MTO charges for its services. Read more from investopedia.com…

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