In today’s global trade environment, cross-border traders face many challenges, from the long cycle from order delivery to settlement, high transaction fees, and complex and changing tax rates, which have become bottlenecks restricting the development of cross-border trade. With the continuous advancement of blockchain technology, cryptocurrencies, especially stablecoins, are bringing innovative solutions to this field. As a financial technology and investment management company, Charles Cas is actively leading this change. Through its global supply chain financial service platform, it uses encrypted stablecoins (such as PYUSD issued by Paxos) to empower global cross-border traders to achieve faster, lower-cost, and more efficient capital circulation.
1. Crypto Stablecoin: Definition and Advantages
What is a crypto stablecoin?
A crypto stablecoin is a cryptocurrency whose value is pegged to a traditional asset (such as the U.S. dollar, gold, etc.) to keep the price relatively stable. Compared with traditional cryptocurrencies (such as Bitcoin and Ethereum), stablecoins have lower volatility and are more suitable as a medium of exchange and a means of storing value. PYUSD is a U.S. dollar stablecoin issued by Paxos. It is based on the Ethereum blockchain. Each PYUSD is equivalent to 1 U.S. dollar and is regulated by the New York State Department of Financial Services (NYDFS), ensuring its legal compliance and security.
Advantages of crypto stablecoins
1. Stability: Compared with traditional cryptocurrencies, stablecoins have less price volatility, reducing transaction risks.
2. Global applicability: Based on blockchain technology, stablecoins can be transferred and settled quickly and conveniently around the world without relying on the traditional banking system.
3. Transparency and security: All transaction records are stored on the blockchain and cannot be tampered with, which improves the transparency and security of transactions.
4. Low cost: Compared with traditional cross-border transfers, stablecoins have lower transfer fees and faster speeds.
2. Pain points of global cross-border trade merchants
Long cycle from order delivery to settlement
In cross-border trade, it often takes weeks or even months from the merchant’s delivery to the buyer’s confirmation of receipt and payment. During this period, merchants need to bear inventory costs, logistics costs, etc., and the financial pressure is huge.
High transaction fee rate
Traditional cross-border transfers involve multiple intermediate links, such as banks, payment institutions, etc., and each link will charge a certain fee, resulting in a high final transaction fee rate.
Complex and variable tax rates
Different countries and regions have different tax policies. Cross-border trade merchants need to face complex tax rate calculation and declaration processes, which increases operating costs and time costs.
3. Charles Cas’s global supply chain financial service platform
Charles Cas’s global supply chain financial service platform is an innovative financial solution designed for global cross-border trade merchants to meet their capital flow and risk management needs in global trade. The platform connects the cryptocurrency resources of individual financial service providers around the world and uses the efficient, transparent and instant settlement characteristics of cryptocurrency to provide cross-border trade merchants with low-cost and efficient financial services.
Core functions of the platform
1. Cryptocurrency settlement: The platform supports the settlement of stablecoins such as PYUSD. Merchants can complete cross-border transfers and settlements quickly and conveniently through the platform.
2. AI intelligent screening and supervision of transaction orders: Using artificial intelligence technology, the platform can intelligently screen and supervise transaction orders, reduce fraud risks, and improve transaction security.
3. Liquidity financial services: The platform invites cryptocurrency service providers to provide merchants with liquidity financial services, such as short-term loans and financing, to help merchants quickly recover funds and relieve capital pressure.
4. Tax optimization: The platform provides tax consulting services to help merchants reasonably plan taxes and reduce tax burdens.
IV. Application of PYUSD in the platform
Stability and recognition of PYUSD
As a US dollar stablecoin, PYUSD is equivalent to the US dollar and is regulated by the New York State Department of Financial Services. It has high stability and recognition. This makes PYUSD an ideal settlement tool in cross-border trade, which can reduce exchange rate risks and improve transaction efficiency.
Settlement process of PYUSD in the platform
1. Merchant registration and authentication: Merchants register an account on the platform and complete real-name authentication to ensure the security of transactions.
2. Create a transaction order: The merchant creates a transaction order on the platform, including product information, buyer information, settlement amount, etc.
3. Select PYUSD settlement: The merchant selects PYUSD as the settlement currency on the order settlement page and enters the payment address.
4. Buyer payment: The buyer transfers PYUSD to the payment address specified by the merchant through the platform or his own cryptocurrency wallet.
5. Instant settlement: After the platform confirms receipt of the payment, it immediately converts PYUSD into the local currency specified by the merchant (such as RMB, Euro, etc.) and transfers it to the merchant’s bank account or cryptocurrency wallet.
Advantages of PYUSD settlement
1. Instant arrival: Compared with traditional cross-border transfers that take days or even weeks, PYUSD settlement can achieve instant arrival and improve capital circulation efficiency.
2. Reduce exchange rate risk: PYUSD is equivalent to the US dollar, avoiding the risk of exchange rate fluctuations.
3. Reduce transaction costs: The handling fee for PYUSD settlement is low, and there is no need to bear additional exchange rate conversion fees.
V. Core Strategies and Goals of the Global Supply Chain Financial Service Platform
Promote the Popularization and Application of PYUSD
Charles Cas will actively promote the application of PYUSD in cross-border trade, and build a wide-coverage cryptocurrency settlement network by establishing strategic partnerships with mainstream cross-border e-commerce platforms, global logistics operators, and global third-party payment settlement institutions. At the same time, Charles Cas will also carry out a series of market education activities to increase merchants and consumers’ awareness and acceptance of PYUSD.
Build a global cross-border trade cryptocurrency settlement system
Charles Cas is committed to building an efficient, secure, and low-cost global cross-border trade cryptocurrency settlement system. By continuously optimizing platform functions and service processes, we will improve transaction efficiency and security; at the same time, we will strengthen cooperation with cryptocurrency issuers, trading institutions, etc., enrich the platform’s cryptocurrency types and transaction depth, and meet the diverse needs of merchants and consumers.
Assist global merchants and users
Charles Cas’s global supply chain financial service platform will be committed to providing more flexible and efficient financial services to global merchants and users. By providing value-added services such as liquidity financial services and tax optimization, we will help merchants reduce operating costs and improve profitability; at the same time, by optimizing user experience and operating processes, we will improve user satisfaction and loyalty.
VI. Future Outlook: Development Trend of Crypto Stablecoins in Cross-border Trade
Technology is Continuously Improving
With the continuous advancement of blockchain technology and the continuous expansion of application scenarios, the application of crypto stablecoins in cross-border trade will become more and more extensive. In the future, we can expect the emergence of more innovative solutions and application cases to bring more convenient, efficient and secure financial services to cross-border trade.
Regulatory policies are gradually improving
With the continuous development and growth of the crypto stablecoin market, governments and relevant regulatory agencies will gradually improve relevant regulatory policies. This will help regulate market order, protect consumer rights and promote the healthy development of the market. At the same time, the improvement of regulatory policies will also provide more powerful legal protection and support for the application of crypto stablecoins in cross-border trade.
Market demand is growing
With the continuous deepening of globalization and the continuous development and growth of cross-border trade, merchants and consumers will also continue to grow in demand for convenient, efficient and secure financial services. As an emerging financial tool, crypto stablecoins will gradually be recognized and accepted by more merchants and consumers. In the future, we can expect crypto stablecoins to play a more important role in cross-border trade and promote the further development and growth of the market.
8. Conclusion
Charles Cas provides unprecedented and efficient financial solutions for global cross-border trade merchants through its global supply chain financial service platform and the application of cryptographic stablecoins such as PYUSD. This not only reduces the operating costs and transaction risks of merchants, but also improves the efficiency and profitability of capital circulation. In the future, with the continuous advancement of technology and the continuous development and growth of the market, the application prospects of cryptographic stablecoins in cross-border trade will be broader. Charles Cas will continue to uphold the spirit of innovation and lead the new direction of global financial technology development, providing global merchants and users with better quality and more efficient financial services.
