SINGAPORE and HANOI, Vietnam – June 26, 2019 – Telcoin Pte. Ltd., a fintech startup leveraging blockchain technology for high-speed, low-cost international remittances, today announced a partnership with Vimo Technology JSC, operator of the leading Vietnamese digital wallet Vimo.
Partnership Details
Under the agreement, Telcoin users in Vietnam will soon be able to receive inbound international remittances from Canada (in CAD) and cash out to their Vimo wallet balance (in VND). Vimo boasts over 1 million active wallets across Vietnam and offers services including merchant payments, P2P transfers, bill payment, e-commerce payment, mobile top-up, and bank transfers. The initial corridor is Canada-Vietnam, with plans to expand to other major inbound corridors.
Remittance Cost Pain Point
According to the World Bank, nearly US$1 billion in remittance outflows were sent from Canada to Vietnam in 2017. Incumbent providers often charge exorbitant fees, with the global average cost of sending an international remittance at 7.01%. The Canada-Vietnam corridor is even higher at 7.63% (US$15.25 to send US$200). Telcoin targets just 1% to 2.5% for a secure remittance via mobile device in seconds, making the process as easy as sending a text message.
Vietnam's top-10 inbound corridors generate over US$12.6 billion in annual remittance volume, with average costs ranging from approximately 5% to 10% for a US$200 transfer. Telcoin and Vimo aim to disrupt the status quo by putting more money back into the hands of Vietnamese recipients.
Executive Comments
“We’re excited to bring Telcoin remittances to the Vietnamese market with Vimo,” said Claude P. Eguienta, Telcoin co-founder and CEO. “Starting with the Canada-Vietnam corridor, we look forward to bringing a more affordable, hassle-free option to our customers there.” Do Cong Dien, Vimo CEO, added: “The demand for transferring money from overseas into Vietnam is huge. Cooperating with Telcoin, we hope to create an easier, cheaper, faster, and safer way for the Vietnamese community working abroad.” Both companies will announce the live date soon.