Digital asset service provider VirgoCX has forged an alliance with Web3 Banking operating system Vaulta to launch VirgoPay, a stablecoin-based cross-border remittance network.
The network, which aims to reduce fees and transfer times for international payments, is scheduled to go live in May.
Go deeper with GlobalData
In a statement, Vaulta said that VirgoPay will become a “critical part” of its Web3 Banking infrastructure, with the Vaulta blockchain serving as the default transaction and settlement layer.
The service will allow users to fund transactions through local payment methods such as bank transfers and card payments, or directly from a cryptocurrency wallet.
It will support a selection of fiat currencies, providing real-time payment tracking and enabling recipients to receive funds in their preferred currency.
The network aims to offer up to a 70% reduction in cross-border transaction fees and to complete transfers in “minutes”.
The first phase of the VirgoPay network will establish connections between financial hubs in the US, Hong Kong, Canada, Argentina, Brazil, and Australia, with plans to expand into additional markets in South America, Southeast Asia, and the Middle East during the second phase.
Besides, Vaulta’s blockchain will facilitate direct access to cross-border payments for its users via VirgoPay.
Vaulta Foundation founder and CEO Yves La Rose said: “In addition to being very costly and slow, cross-border payments have always relied on access to traditional banks or financial institutions, which often isn’t an option in areas that lack that necessary and widely available infrastructure.
“Virgo is tackling this problem head on by leveraging the power of stablecoins, while also acting as the first true proof-of-concept for our chain’s new focus around the evolution of finance. The VirgoPay network stands as the first testament to the Vaulta Banking OS framework our team has perfected over years of iterations, and is step one in realising our vision for Web3 Banking.”
Virgo CEO Adam Cai stated: ”Vaulta’s vision about Web3 Banking is aligned very well with Virgo’s vision ‘make crypto great for all’. Leveraging stablecoins for payments is going to be the first killer application for DLT. VirgoPay is thrilled to partner with Vaulta to achieve its’ global mission to make money flow freely and easily.”
Following its rebranding from EOS Network, Vaulta intends to incorporate further features and financial services through future partnerships.
