Pakistanis living in United Arab Emirates (UAE) have started using cryptocurrency as a means to send remittances to their families in their home country.
Muhammad Bilal, a 27-year-old Dubai resident, used to stand in long queues outside money transfer offices to send $1,000 to his wife and parents in Pakistan every month. He was charged $7 for every transfer.
Now, he has switched to a cryptocurrency app, making him one of the thousands using this facility in UAE. This service involves no transfer fee, which is an attractive option for many.
As quoted by Al Arabiya, Bilal, who works as a Customer Service Representative, said that he does not wait in queues anymore because he transfers money via an app while sitting at his home.
Statistics from Chainalysis, a blockchain data firm, reveal that the Middle East and North Africa (MENA) region remained the fastest-growing crypto market worldwide.
In light of this, UAE wants to transform Dubai into the first city “fully powered by blockchain.” It has introduced several laws and regulations that will make Dubai a hub for crypto in the near future.
Similarly, a Filipino expat, Gerard Dingal, uses a crypto app to send remittances to his mother and sister in the Philippines. Speaking about switching to crypto, he remarked that it involves no or minimal transfer fees and is easy, instant, and safe.
Over 90% of UAE’s 9.3 million population are foreigners, as per the UN Capital Development Fund report. Most of them are from Pakistan, India, Bangladesh, Indonesia, and Egypt,
Earlier, Central Bank UAE (CBUA) announced “Digital Dirham,” stating that it will ease cross-border payment and boost financial security. The decision was taken considering the expat population in the UAE.
Via Al Arabiya