Global cross-border payment platform Axiym is making significant strides in the financial technology sector by targeting the increasing demand for blockchain-based infrastructure and stablecoin solutions among money services businesses (MSBs). Headquartered in Dubai, Axiym has reported processing over $132 million in cumulative volume on the Avalanche blockchain, showcasing its commitment to revolutionizing international transactions.
Key Takeaways
- Axiym focuses on providing blockchain solutions for money services businesses.
- The platform has processed over $132 million on the Avalanche blockchain.
- Axiym aims to enhance efficiency in cross-border payments by integrating blockchain technology.
- The use of stablecoins is pivotal for reducing costs in international transactions.
Axiym’s Innovative Approach
Axiym’s CEO, Khibar Rassul, explained that while MSBs like Western Union and currency exchanges do not operate on-chain, Axiym connects their existing payment operations to the Avalanche blockchain. This integration allows for the automation, movement, and management of capital more efficiently than traditional methods.
The platform is designed to provide real-time credit and liquidity to MSBs globally, utilizing stablecoins to facilitate payments. This approach enables Axiym to offer a solution that addresses the inefficiencies of legacy payment systems, such as high costs and delays associated with SWIFT transactions.
Addressing Pain Points in Cross-Border Payments
Axiym’s platform is tailored to tackle several challenges faced by traditional cross-border payment systems:
- Capital Inefficiency: Traditional systems often require significant capital reserves, which can hinder liquidity.
- SWIFT Delays: Transactions can take several days to process, causing frustration for users.
- High Costs: Fees associated with international transfers can be prohibitively expensive.
- Fragmented Frameworks: Different regulations and systems across countries complicate transactions.
By embedding blockchain capabilities directly into existing payment operations, Axiym aims to streamline these processes and enhance the overall user experience.
The Role of Stablecoins in Emerging Markets
Stablecoins have emerged as a crucial tool for facilitating low-cost, efficient cross-border payments, particularly in emerging markets. A recent report from Chainalysis highlighted that remittances using stablecoins from Sub-Saharan Africa are 60% cheaper than those using traditional fiat rails. This cost efficiency is driving the adoption of stablecoins in regions where financial services are often limited.
Future Prospects for Axiym and MSBs
Axiym’s client base primarily consists of licensed payment companies located in major financial hubs such as the UAE, the UK, and Singapore. These companies often serve users who send funds to key remittance destinations across Asia, Africa, and Latin America.
As the demand for efficient cross-border payment solutions continues to grow, Axiym is well-positioned to capitalize on this trend. The integration of blockchain technology not only enhances transaction speed and transparency but also addresses regulatory challenges that have historically hindered the adoption of such innovations.
In conclusion, Axiym’s innovative use of the Avalanche blockchain to support money services businesses marks a significant step forward in the evolution of cross-border payments. By leveraging stablecoins and blockchain technology, Axiym is set to redefine the landscape of international transactions, making them faster, cheaper, and more efficient for users worldwide.
