TREE NEWS update: A study by the Bank of Italy found that stablecoin remittances do not offer systemic cost advantages over traditional methods, with on-chain components accounting for only a small portion of total costs. The research suggests that while stablecoins can reduce certain fees, the overall cost savings are limited and not transformative for cross-border payments.
Italy’s Central Bank Study: Stablecoin Remittances Have No Systemic Cost Advantage
The Bank of Italy's finding cuts against the core pitch for stablecoins in cross-border payments: that they structurally undercut traditional rails. If on-chain costs are only a small slice of the total, then the binding constraints sit in fiat on/off-ramps, compliance and last-mile delivery — the parts stablecoins don't disintermediate. That reframes where any real efficiency gains would have to come from, and it matters for the remittance corridors where stablecoin advocates have claimed the clearest edge. Whether other central banks reach similar conclusions, and whether the cost breakdown shifts as on/off-ramp competition deepens, is the open question.
Generated by AI for reference only.
Share on WeChat
Open WeChat → Scan → then tap "…" to send to a chat or Moments.
Tap "…" in the top-right corner to send to a chat or share to Moments.