Industrial Bank of Guatemala adopts stablcoins to revolutionize remittances

By Canuto

The largest Bank of Guatemala, Banco Industrial, adopts the Polygon -based Stablecoins based on Polygon to facilitate remittances from the US.

***

• Guatemala’s largest bank embraces the stablecoins and Polygon’s blockchain.
• Industrial Bank is integrated with Sukupay to receive remittances from the USA through USDC.
• The transaction rate will be fixed from USD $ 0.99, just requiring a telephone number through the APP Zigi.
• Remittances represent almost 20% of Guatemalan GDP and the country faces low banking.

---

The largest bank in Guatemala is making a great advance in financial innovation with Blockchain.

Industrial Bankwith more 3,180 service points throughout the Republic of Guatemala, he announced that he is betting on the Stablecoins To allow citizens to receive remittances from the United States more economically, easy and accessible.

The adoption will be carried out through the integration of the bank with Sukupaya Fintech company that is dedicated to modernizing cross -border payments with technology Blockchainas reported by the parties in a press release on Wednesday.

The alliance with Sukupay will allow Guatemalacos to receive money from the United States for a 99 cents fixed rate using only one phone number within its mobile application Zigiof the Industrial Bankwithout resorting to cryptocurrency wallets or understanding technical aspects of the world Blockchain.

Guatemala is committed to Stablecoins for remittances

Remittances have historically been a financial pillar in Guatemala. According to official data, around USD $ 21,000 million for this concept, which represents almost 20% of the Gross Domestic Product (GDP) Guatemalteco. It is a vital flow for millions of families, but until now it has been subject to high rates, bureaucratic processes and bank access limitations.

The solution uses the Stablecoin USDC, which maintains a 1: 1 parity with the US dollar, and works on the network Polygona layer 2 protocol of Ethereumwhich allows to expedite international transactions.

According to the statement, this marks the first time that a native cryptocurrency protocol is integrated with such depth in a leading retail bank of Latin America. This level of collaboration marks a milestone for regional financial infrastructure and feels precedent for possible adoptions in other emerging markets.

“With Sukupay infrastructure integrated directly into Zigi, we are not only improving remittances, we are establishing a new standard“, said Michel CaputiHead of the Division of Strategic Alliances of the Industrial Bank. “This is a modern solution for an inherited problem – and we are proud to lead the way Latin America“

Remittances, stablecoins and financial inclusion

The Stablecoins They have gained global relevance, growing up to a market capitalization close to USD $ 230,000 million today, in the midst of an increasingly large interest between traditional banks and financial institutions.

Once a niche within cryptocurrencies, Stablecoins have become the new pillar of global finances. Its role is particularly disruptive in payments, savings and remittances, especially in developing countries where banking systems are limited or local currencies have significant volatility.

Only 35% of Guatemalan adults had access to a formal bank account in 2022, according to data Findex of the World Bank. This low banking amplifies the challenges to receive remittances quickly and safely, so tools such as the one offered by Sukupay and Industrial Bank They help to build bridges towards financial inclusion.

By reducing the technological and bureaucratic requirements, initiatives such as this allow a greater segment of the population to access funds from relatives abroad, thus contributing to social mobility and financial stability in the country.

Established in 1968, and with presence also in Honduras, Panama and El Salvador, Banco Industrial is the last of its item to integrate the tokens with fiduciary parity. Other banks in the region such as Itaú They have drawn plans to launch their own Stablecoins. This week it was reported that the French giant I société générale It is about to launch its second initiative of this type.

---

Article written with the help of AI, edited by Hannah Pérez / Diariobitcoin

Image of Unspash, by Paolo Margari

WARNING: Diariobitcoin offers informative and educational content on various topics, including cryptocurrencies, AI, technology and regulations. We do not provide financial advice. Cryptactive investments are high risk and may not be adequate for all. Investigate, consult an expert and verify the applicable legislation before investing. I could lose all its capital.