By The How Much Western Union & MoneyGram Will Lose From El Salvador’s Bitcoin Law
Tip to any who send money via services like WU and MoneyGram…get yourself a BitWallet ( https://bitwallet.org/ ) and cut out the middle man…
By The Numbers: How Much Western Union And MoneyGram Will Lose From El Salvador’s Bitcoin Law
“Smaller countries like El Salvador owe a significant percentage of their economy to remittances. It is estimated that in 2020 alone, remittances from citizens overseas accounted for 23% of the gross domestic product of the country. Making it a major economic contributor in the country. Remittances alone in 2020 came out to $6 billion, of which the remittance services which are used to send these monies take a percentage as fees.
With bitcoin though, the middleman, in this case, Western Union and the likes, are completely removed from the process. The funds sent go directly to the recipient without the need for a processing fee to a third party. It is estimated that these remittance companies are set to lose about $400 million a year when remittances are routed through bitcoin instead.
It cannot be underestimated how important remittances are to the nation-state of El Salvador, which is why the remittance industry is booming in the country. With an approximate 70% of its population receiving remittance payments from overseas, bitcoin payments will save citizens millions of dollars in commissions being paid to third-party remittance services.”