Blockchain Payments Poised for $3 Trillion Boom by 2025 as Costs Plummet & Speed Increases
NEW YORK – Blockchain-based cross-border payments are experiencing explosive growth, projected to reach $3 trillion by 2025, according to a new report by CoinLaw. The surge is fueled by dramatically reduced transaction fees and significantly faster processing times compared to customary financial systems.
the study reveals that blockchain payments have grown at an annual rate of 45% over the past decade. This acceleration is driven by benefits like a 70-80% reduction in average transaction fees and processing times slashed to just 3-10 seconds – a stark contrast to the 2-5 days frequently enough required by legacy systems. RippleNet currently processes over $15 billion in cross-border transfers monthly, demonstrating the technology’s current capabilities.
the trend extends beyond private companies. Over 120 countries are actively developing Central Bank Digital Currencies (cbdcs) to streamline international transactions. CoinLaw’s research also indicates that nearly 40% of global remittance firms are now utilizing blockchain solutions, with africa leading in adoption, experiencing a 60% surge driven by demand for affordable and efficient remittance infrastructure.
Adoption is also gaining traction within established financial institutions. Approximately 85% of US banks are either piloting or have fully integrated blockchain-based solutions into their payment systems. The Asia-Pacific region is at the forefront, with 60% of financial institutions leveraging blockchain, followed by North America (55%) and Europe (50%).
Major payment processors are also embracing the technology. visa and Mastercard have reportedly processed over $5 billion in cryptocurrency transactions this year through partnerships with blockchain startups.
Beyond speed and cost, blockchain is impacting operational efficiency. insurance companies have increased blockchain usage to 35% for faster claims processing, up from 18% in 2022. Banks are realizing savings of up to 35% on operational costs through the elimination of intermediaries and reduced fraud, with average transaction speeds decreasing to 10 minutes from over 10 minutes five years ago.
The growing adoption of cryptocurrency is also linked to macroeconomic factors. El salvador has seen approximately 35% of its population using crypto wallets since bitcoin became legal tender. Nigeria leads peer-to-peer trading activity in Africa, accounting for 45% of the continent’s total crypto transactions. Argentina and Turkey have recorded a 60% surge in adoption this year, spurred by persistent inflation and currency instability.
https://coinlaw.io/blockchain-payments-statistics/
https://cryptopotato.com/us-crypto-boom-america-becomes-the-worlds-4-2-trillion-fiat-gateway/
