The Bank for International Settlements (BIS) published Working Paper No. 1385 on the costs of cross-border payments. According to ChainCatcher, the paper compares traditional banks, fintech remittance providers, and stablecoins. It says stablecoins can transfer funds across borders on networks including Ethereum, Solana, and Tron, reducing reliance on correspondent banks and SWIFT.

The paper notes that stablecoin exchange rates for major currencies can approach wholesale foreign-exchange rates, while on-chain transfer fees are low. However, the full fiat-to-stablecoin-to-fiat process still involves transaction, withdrawal, and conversion fees: stablecoins restructure intermediaries rather than eliminate them. Limited market depth constrains cost advantages for large payments, while advantages in some emerging markets are linked to capital controls and demand for U.S. dollars.