Sending money across borders in 2025 shouldn't feel like navigating a financial maze. Yet for millions of people and businesses worldwide, international money transfers remain frustratingly slow, expensive, and unpredictable.
Traditional bank transfers can take 1 to 4 days to process, with the World Bank reporting average costs of 11.8% for international transfers as of the fourth quarter of 2022. These costs disproportionately impact small businesses and individuals who rely on efficient global payments for their livelihoods.
Whether you're a business owner paying overseas suppliers, a freelancer receiving payment from international clients, or someone supporting family abroad, the current system creates unnecessary friction in an increasingly connected world.
Five major challenges plaguing traditional transfers
1. Excessive fees and hidden costs
International transactions always have higher costs, which are frequently not transparent. Before completing the transaction, payers want to know how much their fees will cost. Traditional transfers involve multiple intermediaries – each charging their own fees – creating a web of costs that can dramatically reduce the amount your recipient ultimately receives.
2. Unacceptable delays
International wire transfers typically take between 1-5 business days, and in some cases even longer, especially when sending money to or from countries with slower banking systems. Even in 2025, wire transfers can still be slow due to bank hours, rules, or time zones.
The reasons for these delays are numerous:
Banking hours and weekend closures limit processing windows
Regulatory compliance checks add time at each intermediary
Currency conversion requires additional processing steps
Time zone differences create processing bottlenecks
3. Lack of transparency
A 2017 Swift survey found that 47% of people wanted better visibility into the costs and deductions involved, while 64% of corporations wanted real-time payment tracking capabilities. When you send money traditionally, you're often left guessing where your funds are and when they'll arrive.
4. Complex intermediary networks
Intermediary banks are financial institutions that help facilitate international bank transfers when the sending and receiving banks don't have a direct relationship. They can add significant delays because each bank involved must process the payment, conduct compliance checks, and apply their exchange rates if currencies differ.
5. Limited accessibility
Traditional banking systems exclude millions from participating in the global economy. Bank holidays, working hours, and geographical limitations create barriers that shouldn't exist in our digital age.
How bitcoin-enabled banking transforms international payments
Bitcoin-enabled banking addresses these fundamental issues through innovative technology that puts you back in control of your money.
24/7 availability
Bitcoin is not bound by national borders or banking systems. As long as there's a route between two nodes, money can be sent anywhere in the world. This global reach, combined with its speed and low fees, makes it an ideal solution for businesses engaged in international trade or individuals needing to make frequent cross-border transactions.
Unlike traditional banks that operate within business hours, bitcoin networks function continuously, allowing you to send and receive payments at any time.
Complete transparency
With bitcoin-enabled banking, you know exactly what you're paying and when. There are no hidden intermediary fees or surprise deductions. Every transaction is traceable, giving you full visibility into where your money is and when it will arrive.
Instant settlement with Lightning Network
The Lightning Network enables off-chain transactions that settle instantly. This innovative approach allows multiple transactions to occur outside the main blockchain, significantly reducing the number of on-chain transactions required.
Lightning payments allow for near-instant and low-cost transfers of bitcoin between parties, making it an attractive alternative to traditional on-chain bitcoin transactions. Instead of waiting days for your payment to clear multiple banking systems, Lightning Network transactions are completed in seconds.
Dramatically reduced costs
One of the most significant advantages of using the Lightning Network for sending money abroad is the dramatic reduction in fees. Traditional methods of international money transfer often charge hefty fees that can eat into a significant portion of the amount being sent, especially for smaller transactions. The Lightning Network, on the other hand, allows for microtransactions with fees that are often less than a cent.
Experience the difference with Xapo Bank
At Xapo Bank, we've built the infrastructure to make bitcoin-enabled banking accessible, secure, and practical for everyday use*. Our platform combines the power of digital assets with the security of traditional finance, creating a seamless experience for international payments.
Lightning-fast bitcoin transactions
Instantly and affordably send, receive, and transfer your bitcoin and US dollars all in one app. Deposit funds into your wallet for your day-to-day transactions, send and receive bitcoin in just a few taps with the Lightning Network, or transfer to your savings account to start earning interest, all available 24/7.
Competitive pricing advantage
The Xapo Bank app consistently outperforms the best players in the market on bitcoin pricing, saving you up to 90% compared to other solutions. That's more bitcoin when you buy, and more money when you sell. Our institutional-grade pricing means you keep more of your money on every transaction.
Comprehensive payment networks
We provide access to multiple global payment networks:
Blockchain and Lightning Network for bitcoin transactions
Stablecoins for USDT and USDC transfers
Traditional rails including SEPA, Faster Payments, and ACH
Real-time payments to US and send MXN to Mexican banks via SPEI
Global accessibility
You can withdraw funds or make purchases from billions of merchants around the world using your BTC or USD balance. Pay with your secure virtual card online and use your PVC and metal cards for in-person payments, or to take out cash at an ATM. We don't charge foreign exchange fees, and you'll earn cashback in BTC on your purchases.
Ready to transform your international payments?
The future of money is here, and it's faster, cheaper, and more accessible than ever before. With over a decade of experience as one of the original bitcoin custodians, the Xapo Bank app provides the security* and reliability you need with the innovation you want.
Experience banking that bridges the power of digital assets with the ease of traditional finance. Join the growing number of individuals and businesses who've discovered a better way to move money across borders.
*For more information on the security features available at Xapo Bank Limited and Xapo Vasp Limited, please visit: https://www.xapobank.com/en/blog/banking-your-btc
