Stablecoins have come a long way from being a niche cryptocurrency to becoming a powerful tool for solving real-world business challenges. While many companies initially focused on enabling crypto-native merchants, Orbital’s approach has always been different. From cross-border FX to stablecoin-powered B2B payments, our journey shows how stablecoins solve real problems in outdated financial systems.

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This communication is for informational purposes only and does not constitute financial or investment advice. It is intended exclusively for eligible corporate clients outside the UK and high net worth companies.

A Different Approach to Stablecoins

Orbital’s story didn’t start as a blockchain or stablecoin company. When the business launched in 2017, the focus was on cross-border FX solutions for large merchants, helping them repatriate profits from emerging markets more efficiently. Back then, payments were slow, expensive, and riddled with inefficiencies.

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In 2020, Orbital began leveraging stablecoins to streamline these FX processes. The advantages were clear: stablecoins drastically reduced transaction times and fees, becoming a core component of Orbital’s offerings. From there, the company expanded to build a stablecoin payment gateway—now accounting for over 99% of its transaction volume—and began supporting B2B payment use cases, particularly for businesses in developed markets managing receivables from emerging markets.

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Today, Orbital helps businesses avoid traditional financial hurdles by auto-converting exotic currencies to stablecoins and, if needed, to major currencies.

Why Stablecoins?

The motivation behind Orbital’s pivot to stablecoins was simple: cost efficiency and speed.

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Traditional FX methods could take up to five business days to settle, and fees could eat into profit margins. With stablecoins, businesses compressed settlement times to same-day and significantly reduced costs. These efficiencies allowed businesses to move money quickly, making stablecoins indispensable for cross-border transactions in emerging markets.

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While stablecoins offer significant efficiencies, they carry risks related to issuer solvency, reserve adequacy, and evolving regulatory frameworks. Businesses should assess these factors when considering stablecoin adoption.

Where Stablecoins Fit Best

Stablecoins have found their strongest utility in specific areas of the payments landscape. Let’s talk about real-world examples of stablecoin-powered payments: 

• B2B Pay-ins and Payouts: A logistics company in Germany can use stablecoins to collect payments from suppliers in Southeast Asia, auto-converts them to EUR, and pays contractors in Eastern Europe. According to the PYMNTS report, transactions conducted via decentralized finance, including stablecoins, can reduce transaction costs by up to 80% compared to traditional methods. Results may vary depending on blockchain used, gas fees, and liquidity conditions.
• ECommerce Payments: A European online retailer adds stablecoin checkouts to reach customers in Latin America, where traditional payment options are pricey and unreliable. This means faster, cheaper payments that auto-convert to EUR, boosting sales. With e-commerce plugins like WooCommerce and Magento, it’s quick to set up and keeps launch costs low.
• Unlocking New Markets: To test new markets like Brazil, a trading company might need to invest in integrating with a BRL Pix payment gateway and securing a local liquidity provider. By accepting stablecoins for deposits and using them for payouts, the company can unlock the new market and avoid the costs of traditional integration for the test.
• Mass Payouts: A gig economy platform can use stablecoins to pay thousands of freelancers globally. Payments are processed within minutes, reducing delays and in most cases fees while unlocking access to a wider pool of global talent.

Challenges to Wider Adoption

While stablecoins have come a long way, there are still hurdles to overcome before they see even wider adoption:

1. User Experience: Gas fees and onboarding complexities remain barriers. Progress is being made in the market with the addition of more cost effective blockchains..
2. Interoperability: Cross-chain compatibility continues to be a challenge, but early developments offer hope for a more interconnected future.
3. Regulatory Compliance: The regulatory status of cryptocurrencies, including stablecoin, is evolving over time affecting service providers and clients. Regulations like MICAR in Europe will force many businesses to adapt or exit the market, leading to consolidation but also creating opportunities for compliant providers.

How Orbital is Using Stablecoins to Transform Global Payments

At Orbital, we’ve seen first-hand how stablecoins can tackle real-world business challenges. From reducing costs and speeding up cross-border payments to helping businesses expand into new markets, stablecoins are changing the way companies move money globally.

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But it’s not just about faster payments—compliance, security, licensing, and ease of use matter too. While not FCA-regulated in the UK, Orbital operates under licenses in Gibraltar and Estonia for digital assets, ensuring compliant operations and focus on security. Our mission is to simplify global money movement by building the most efficient and secure worldwide payments network, powered by stablecoins.

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Ready to explore how stablecoins can transform your business payments? Contact us here to learn more.

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Important: This communication is for informational purposes only and does not constitute financial or investment advice. It is intended exclusively for eligible corporate clients outside the UK and high net worth companies. Cryptocurrencies are highly volatile and carry significant risks, including potential total loss. Past performance is not a guarantee of future results. Seek independent professional advice before investing. Crypto-asset products and services mentioned here are not authorised or regulated by the UK FCA. These investments may lack the protections of FCA-regulated products.

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