In Brief:
- Flutterwave will utilize the USD Coin (USDC) stable coin on the Stellar network.
- The company will collaborate with Stellar’s EU payments partner, Tempo Payments.
- Aims to assist in the development of a more strong and inclusive Pan-African digital payments infrastructure.
The Stellar Development Foundation (SDF), the non-profit organization, issued a press release stating that Flutterwave launched two new remittance corridors between Europe and Africa on the Stellar network.
Flutterwave is a global payments technology company that would use the Stellar network and the Stellar-based USD Coin to make remittances in Africa simple.
Remittances are currently a multibillion-dollar market in Africa, and cryptocurrency usage may only account for a small portion.
Flutterwave CEO Olugbenga Agboola stated that “It is more expensive to send money to sub-Saharan Africa than to any other region in the world. Our new payment corridors on Stellar will allow us to continue expanding the Flutterwave network to bring all-important, cost-effective money transfer services to African business owners.”
Because a huge chunk of the African population is unbanked, Africa has emerged as a critical market for payment companies.
Flutterwave and Stellar’s partnership has the potential to have a positive impact throughout the African region because it provides businesses with a frictionless and accessible digital payment method.
CEO and Executive Director of the Stellar Development Foundation, Denelle Dixon, further added, “This partnership marks a further step in our efforts to harness the power of technology to make financial services more inclusive and affordable for underbanked individuals worldwide.”
SDF supports a Stellar network, a blockchain-based tool that facilitates money transfers between businesses and individuals. They recently even partnered with MoneyGram, one of the largest money transfer services in the US.
