Wednesday, 14th May 2024, Accra – Tech Labari got an invite to a media roundtable with TBD, which is part of Block (creators of Cash App), to discuss their recent partnership with Chipper Cash who was added to their tbDEX Ecosystem.
We spoke with Maijid Moujaled (Co-founder of Chipper Cash) and members from the TBD team, including Mike Brock (CEO of TBD), on the partnership, details of the tbDEX protocol, and more.
Details
TBD yesterday announced its partnership with Chipper Cash, an African fintech company that allows 5 million consumers to move money efficiently to over 21 African countries.
At the roundtable, we discussed details of the partnership, how Chipper Cash would use the tbDEX protocol for its cross-border operations, and other advantages the protocol comes with including efficiency and speed of transactions.
What Is The tbDex Protocol?
The tbDEX protocol is an open financial protocol that was developed by TBD. The protocol allows the movement of value anywhere around the world more efficiently and cost-effectively than what’s possible in traditional financial systems.
The protocol can be compared to the “email” protocol which allows the movement of emails from one sender to a receiver.
Benefits of the Protocol
At the roundtable, the team discussed the benefits and prospects of the protocol including lower fees compared to traditional methods like SWIFT and bank transfers.
They also stated that the simple implementation of the protocol and the fact that it was open source, meaning all interested parties including banks and fintechs could utilise it for their specific case studies including cross-border payments and even internal transfers.
By The Numbers
According to data from the World Bank, remittances to Africa are high with Nigeria receiving about $20 billion in 2023. This presents an opportunity for remittance companies to move money from the US and other countries into the African region.
The use of the tbDEX protocol could reduce the fees associated with remittances on the continent.
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