How Paylivre reduces its clients’ currency exposure

The globalization of markets and the growing economic, interconnection between countries have brought significant challenges for companies operating internationally. One of these difficulties often faced is currency exposure. But what is it?

When a company carries out commercial or financial transactions in foreign currencies, such as buying and selling products, investments, loans or paying suppliers abroad, it is subject to exchange rate risks. Exchange rate exposure arises from the need to convert foreign currency into your local currency, and this conversion is subject to fluctuations in exchange rates, which can reduce the profit from the operation, or increase it. But the big risk is the unpredictability that currency exposure creates in an operation.

However, a unique and innovative technology is gaining prominence, promising to solve this problem and make the settlement process faster and more efficient - real-time cryptocurrency settlement.

Real-time cryptocurrency settlement refers to the use of crypto-based digital assets, which function in a decentralized manner and are not controlled by any central authority, to facilitate the transfer of funds between parties involved in international transactions. Stable Coins, USDT and USDC (Dollar), are digital assets that have been gaining increasing acceptance and adherence around the world and at Paylivre they are used to cover this function.

One of the most striking features of cryptocurrencies is the use of blockchain technology. Blockchain is a distributed, decentralized network that records all transactions transparently and securely. This eliminates the need for intermediaries such as banks and exchange offices, making transactions more efficient and reducing the costs associated with them. In addition, the cryptography used in cryptocurrencies provides a high level of security, which is fundamental in financial transactions. To find out more about the main features of crypto settlement, read our article:

Paylivre, aware of the opportunities offered by cryptocurrency and blockchain technology, has launched an innovative project to meet the needs of its partner companies. The platform allows these companies to request and receive their withdrawals in cryptocurrencies, initially in Stable Coins USDT, USDC through of the ERC20 network automatically after the purchase or sale of their products, whether they are sold in traditional or crypto currencies. This offers a number of significant advantages.

  1. Agility and Efficiency: Settlement via cryptocurrency is virtually instantaneous. There is no need to wait for lengthy international bank clearing processes. This reduces waiting times and provides a more agile solution for companies that need immediate liquidity.
  2. Cost reduction: By eliminating intermediaries and minimizing currency conversion fees, settlement via cryptocurrency can result in substantially lower costs compared to traditional methods of transferring funds.
  3. Currency Exposure Mitigation: By using Stable Coins that are pegged to the value of the dollar, companies can reduce their currency exposure. This means that fluctuations in exchange rates have less impact on company finances.
  4. Global Access: Cryptocurrencies are globally accepted, which means that companies can do business anywhere in the world without the restrictions associated with traditional currencies.
  5. Transparency and Security: All cryptocurrency transactions are recorded on the Blockchain, providing a high level of transparency and security. This helps prevent fraud and errors.

Paylivre is once again setting trends in the market and dictating how offering cryptocurrency settlement solutions to its partner companies will work. With this innovative approach, Paylivre is demonstrating its commitment to providing modern, efficient and globally competitive financial services.

In short, cryptocurrency settlement is redefining the way companies handle their international financial transactions. By offering agility, efficiency and reduced currency exposure, it is becoming an attractive option for companies looking to optimize their financial processes. The project launched by Paylivre is an outstanding example of how this technology can be successfully applied, providing tangible benefits to companies looking for a more effective way of handling their international finances.

About Paylivre

Founded in 2019, Paylivre is one of the largest payment intermediaries in Brazil, developing solutions for borderless digital payments to companies around the world.

With a focus on the customer, deep knowledge of the market and passion for what we do, we conquer companies around the world and offer new possibilities in payments in Latin America in a practical and safe way.

Offer more security and protection to your user with our robust infrastructure and proprietary technology. Click here and discover how Paylivre can offer you the best borderless digital payment solution.