Coinbase CEO proposes surprising fix to $60B remittance fees

Global remittances are estimated to person reached astir $905 cardinal successful 2024-2025.

As per the World Bank, the planetary mean fees stood astatine 6.36% successful the 3rd 4th of 2025. It means the full remittance fees past twelvemonth stood astatine an estimated $57.55 billion.

Related: U.S. authorities reveals unsocial mode to trim soaring $39T debt

Banks stay the astir costly benignant of work provider, with an mean interest of 14.99%.

While station offices’ fees stood astatine 5.58%, wealth transportation operators (MTOs) charged 4.72%. Mobile operators are among the cheapest work providers astatine 5.58%.

Credit oregon debit cards are among the cheapest work providers, with 4.39% to originate remittances and 3.61% to person remittances.

But Brian Armstrong, the billionaire CEO of the largest crypto trading speech successful the U.S., thinks it could outgo "zero" to nonstop remittances.

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Armstrong touts stablecoins arsenic remittance avenue

Coinbase (Nasdaq: COIN) CEO Brian Armstrong wrote an X station connected Apr. 27 successful which helium highlighted that an estimated $60 cardinal was spent connected remittance fees successful 2025, but this outgo could travel down to zero with stablecoins.

A stablecoin is simply a benignant of cryptocurrency that, dissimilar traditionally volatile cryptocurrencies similar Bitcoin (BTC) oregon Ethereum (ETH), tries to support its worth unchangeable by being pegged 1:1 to a "stable" plus similar the U.S. dollar.

As per DeFiLlama, the full stablecoin marketplace headdress stood astatine $320.45 cardinal astatine the clip of writing.

Tether's USDT (59%) and Circle's USDC (24%) are the 2 astir fashionable stablecoins. These stablecoins are fundamentally "digital dollars" due to the fact that the worth of 1 USDT oregon USDC is the aforesaid arsenic that of 1 U.S. dollar.

Stablecoins person go an progressively fashionable mean of cross-border transfers due to the fact that they are speedy to transfer, outgo less, and the outgo rails facilitating these transfers stay progressive adjacent connected weekends and extracurricular accepted banking hours.

Now, this is precisely the remittance alternate that Armstrong is trying to hype.

In fact, Coinbase's narration with the stablecoin elephantine Circle goes a agelong mode backmost arsenic the 2 companies co-founded the Centre Consortium to motorboat USDC successful 2018. Any crypto idiosyncratic tin gain rewards by simply holding USDC with Coinbase.

When Coinbase posted its 2025 earnings, it reported generating $1.34 billion successful stablecoin gross owed to USDC held successful Coinbase products.

Armstrong has besides been waging a conflict connected behalf of the crypto manufacture to get the CLARITY Act passed without immoderate compromise connected stablecoin rewards—which the banking manufacture insists are a menace to accepted savings accounts.

While Armstrong is enthusiastic astir stablecoins becoming an alternate to different remittance avenues, a McKinsey study published successful February told a antithetic picture.

Most of stablecoin enactment consists of trading, interior money shuffling, and automated blockchain enactment and doesn't facilitate usage cases like paying suppliers oregon sending remittances, the study said.

Related: Explained: What is simply a stablecoin?

This communicative was primitively published by TheStreet connected Apr 29, 2026, wherever it archetypal appeared successful the MARKETS section. Add TheStreet arsenic a Preferred Source by clicking here.