Africans will be able to receive global payments in fiat through the Bitcoin lightning network at no cost to the senders.
Strike, in a press release today, has revealed that Africans will now be able to receive instant and low-cost remittances in fiat via its “Send Globally” feature powered by the Bitcoin Lightning network.
To achieve this, the digital payments company disclosed that it has partnered with Bitnob, an African payments platform. At launch, the service is available to Strike users in the US and covers transfers to Ghana, Nigeria, and Kenya alone. Notably, users pay no transaction fee to make these global payments. Furthermore, payments are instantly converted to fiat and “deposited directly into a recipient’s bank, mobile money, or Bitnob account.”
Strike CEO Jack Mallers tweeting Ghana’s flag on Sunday may have hinted at the development.
— Jack Mallers (@jackmallers) December 4, 2022
“High fees, slow settlement, and lack of innovation in cross-border payments have negatively impacted the developing world,” Mallers said in the press release today. “With exorbitant fees to transfer funds in and out of Africa and incumbent providers halting services, payments companies are struggling to operate in Africa and people cannot send money home to their family members. Strike offers an opportunity for people to transfer their US dollars easily and instantly across borders.”
Meanwhile, Bitnob CEO Bernard Parah asserted that the new service would ease the pressure faced by African banks to source dollar liquidity while saving remittance payers billions in fees.
Per the press release, Strike will continue to expand its services in Africa through partnerships with local payment companies, including Chipper Cash, one of the continent’s largest cross-border payments providers.
It bears mentioning that the latest development comes a few months after Strike raised $80 million to expand its global payments services using Bitcoin’s Lightning Network.