Cobo, a leading provider of digital asset custody solutions, has unveiled a groundbreaking stablecoin-based cross-border payment solution designed to revolutionize global payments.
This new offering enables payment providers to easily integrate stablecoin-based payment functionality into their existing systems, providing a seamless experience similar to industry giants like Bridge.
The Need for Cross-Border Payment Solutions
Cobo analysed the current situation and stated that as the world’s digital economy and global trade continue to expand rapidly, there is a growing demand for more efficient, cost-effective, and secure cross-border payment systems. Traditional methods often involve high fees, long processing times, and complex regulations.
In contrast, stablecoins have emerged as a game-changing solution to these challenges, offering greater speed, transparency, and lower costs for international payments. Cobo’s innovative platform aims to address these issues by streamlining cross-border transactions, reducing operational expenses, and mitigating risks associated with international fund transfers.
The Key Features of the Solution
The solution, which incorporates cutting-edge digital wallet technology, allows businesses to manage multiple currencies and chains, facilitating stablecoin transfers and digital wallet management.
This flexibility enhances asset movement and enables businesses to optimize their payment processes. In addition to its wallet technology, Cobo’s solution also includes intelligent risk control rules and compliance mechanisms to ensure the security and legal integrity of transactions.
This built-in risk control feature aims to safeguard both businesses and consumers from potential security breaches or regulatory issues in cross-border payments. Cobo’s one-stop integration feature further simplifies the process, enabling seamless integration with compliant payment platforms and bank account services.
Diverse Business Needs for Cross-Border Payments
This functionality reduces operational complexity, accelerates fund clearing, and improves efficiency for businesses. Cobo offers two deployment options to meet diverse business needs and they are the custodial mode and the self-custodial mode.
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The custodial model leverages Cobo’s bank-grade custodial wallets, allowing the company to manage asset custody on behalf of payment enterprises. On the other hand, the self-custodial mode empowers businesses to retain full control of their assets using Cobo’s Multi-Party Computation (MPC) technology, allowing them to define their own risk control rules while ensuring secure management without relying on third-party custodians.
Why is this Important?
In real-world applications, Cobo’s solution has already proven successful. One payment provider integrated the solution into its system within just two weeks, enabling its first stablecoin cross-border transaction and opening new opportunities for business growth.
“The rapid expansion of global trade and the digital economy has intensified the demand for efficient and secure payment solutions,” said Discus Fish, Co-Founder and CEO of Cobo. “Stablecoins have emerged as the dominant solution due to their unique advantages. Backed by our deep technical expertise in digital assets and compliance strengths, Cobo is committed to delivering innovative payment solutions that help businesses navigate the complexities of cross-border transactions with ease.”
Cobo has partnered with a wide range of industry leaders, including compliant stablecoin issuers, crypto-friendly banks, payment platforms, Know Your Transaction (KYT) vendors, and card networks, to build a comprehensive payment ecosystem. This collaboration enhances the overall user experience and greatly improves the efficiency of cross-border payments.
Stablecoins are increasingly playing a critical role in the evolution of the global payments landscape. As more businesses turn to digital currencies for international transactions, stablecoins provide a unique advantage due to their stability and efficiency, marking them as an essential tool in the digital economy.
With platforms like Cobo leading the charge, stablecoin adoption is expected to continue its rapid growth, transforming the way businesses handle cross-border payments.
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