Banco Industrial Integrates SukuPay for Blockchain Remittances

Banco Industrial Integrates SukuPay for Blockchain Remittances

Guatemala’s Banco Industrial has integrated SukuPay’s blockchain technology into its mobile app, enabling low-cost $0.99 cross-border remittances from the U.S.

This development highlights an important shift towards blockchain solutions in traditional finance, promising enhanced accessibility and reduced costs for global remittances.

Major Development: Banco Industrial Partners with SukuPay

In a major development, Banco Industrial has partnered with SukuPay to incorporate blockchain infrastructure within its mobile banking app, Zigi. This integration provides cost-effective remittances by charging a flat fee of $0.99, making it accessible without crypto wallets.

Banco Industrial, one of the largest commercial banks in Guatemala, taps into a significant $21 billion annual remittance market through this partnership. CEO of SukuPay, Yonathan Lapchik, emphasized the potential of stablecoins in enhancing efficiency without technical barriers.

The impact on the Guatemalan economy includes faster remittances and reduced transaction costs, benefiting both banked and unbanked groups. For many, instant transfers from the U.S. bolster financial stability and increase disposable income.

How Blockchain Solves Traditional System Inefficiencies

Using blockchain technology addresses traditional system inefficiencies by providing immediate and cheaper remittance options. This initiative represents the first significant adoption of blockchain rails by a retail bank in Latin America.

“The key to achieving large-scale adoption of blockchain is to make the technology invisible to users. That’s the only way we’ll scale blockchain to billions of people — by building the rails, not forcing people to learn how they work.” – Yonathan Lapchik, CEO, SukuPay

The move could inspire further blockchain integrations within financial institutions across Latin America. It highlights the importance of stablecoins in simplifying cross-border transactions, potentially influencing regulatory frameworks and future finance models.