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Blockchain-based cross-border payments have been quite popular for quite some time now. Various companies are providing services based on this principle. What is rather interesting is how a lot of companies use the OKLink blockchain standard for these payments. Now is a good time to take a closer look at what the OKLink protocol entails exactly and why so many companies have grown a liking to this concept.
OKLink Powers Multiple Blockchain-based Cross-border Payment Solutions
It is quite interesting to note quite a few of the companies we recently highlighted all make use of the OKLink protocol. The service operates as a settlement platform to send money across borders while relying on blockchain technology to do so. OKlink processed thousands of cross-border payments every single day and tries to position itself as a complete solution for any money transfer business in the world.
To provide these powerful services to different companies and service providers, OKLink has built an API for users to access. This service is of great value to both new and established remittance companies. The OKLink network serves several dozen countries around the world, which immediately expands the reach of a money transfer business. Even companies focusing on one specific area at first can easily expand to neighboring countries. It is always good to have some choices in this regard.
OKLink’s service work as follows: partners need to purchase OKD, the native currency of the platform which is pegged one-to-one with the US Dollar. Purchasing OKD can be done with US Dollar, which makes for a convenient solution. Once the user has their OKD balance assigned to them, they can select the recipient country and how the person is supposed to receive the money.
Recipients have different options at their disposal, including a cash payout – through local pickup centers – or a transfer to one’s bank account. Once all details are filled in, the payment is sent. Cash payouts take a few hours to process, whereas the transfers to a bank account take around 1 business day, depending on location. Transferred funds are automatically converted to the local currency as well.
One of the main features that make OKLink so attractive to bitcoin-oriented money transfer solutions is how the company subsidizes all fees on the network. To be more precise, they will subsidize fees on the first US$100,000 worth of cross-border payments for every partner on their network. This makes it quite appealing to companies looking to expand their reach in Europe, Asia, and America, as there is no cost associated with using the service until that threshold is met. It also highlights the value of blockchain in the remittance sector, as no traditional money transfer company can waive fees for its partners right now.
It is evident OKLink is trying to position itself as the next-generation value transfer network based on blockchain technology. The company has successfully established a presence in several dozen countries, and their focus on blockchain technology is paying off so far. International money transfers can be sped up and have their fees reduced by quite a margin, and the blockchain is one of the tools to make this happen.
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