The hidden force in global economics — sending money home.

With Bitcoin being able to avoid large fees from companies like Western Union (Sometimes >25%!) and currency exchange fees, it’s easy to see how Bitcoin is already having an effect on “Remittance” markets..

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In 2013, international migrants sent $413 billion home to families and friends — three times more than the total of global foreign aid (about $135 billion). This money, known as remittances, makes a significant difference in the lives of those receiving it and plays a major role in the economies of many countries. Economist Dilip Ratha describes the promise of these “dollars wrapped with love” and analyzes how they are stifled by practical and regulatory obstacles.

 

http://www.ted.com/talks/dilip_ratha_the_hidden_force_in_global_economics_sending_money_home?utm_source=twitter&source=twitter&utm_medium=social&utm_campaign=ios-share

Bitcoin changes the world.. starting in Ghana

Beam Launches Cheap ‘Rebittance’ Solution for Ghana

Controversial and unjust though it often was, the British Empire left a legacy of political and cultural ties, not to mention a large and vibrant expat community in the UK, that exist to this day.

As many of these expats regularly send money to family and friends back home in their countries of origin, a vast flow of cash ($3.2bn in 2011) makes its way from the UK around the world. creating a lucrative market currently dominated by banks and money transmitting services like Western Union and MoneyGram.

This is a market ripe for disruption from bitcoin, which excels at making international transfers of value speedily and cheaply.

Ghana alone has almost 100,000 people living in Britain – more than a tenth of the global expat total for that country – many of whom support relatives at home by sending regular money remittances.