SAP, the largest non-American software company in terms of revenue, has made an announcement regarding its use of US Dollar Coin (USDC) for testing cross-border payments.
This development has been hailed as significant by Peter Schroeder, the integrated campaigns director at Circle. SAP recognizes the challenges faced by small and mid-sized enterprises when sending money overseas and believes that blockchain technology and digital money can provide a solution.
As part of the testing process, SAP customers can receive USDC, which operates on the Ethereum blockchain, as “play money” to explore this payment option. The experiment will be conducted on a separate blockchain and will not involve real ERC-20 USDC tokens.
However, if customers show interest, the adoption of Ethereum-based cryptocurrencies could see a substantial increase since SAP has an impressive customer base, with “99 out of 100 of the largest companies in the world” relying on their services. The company aims to settle cross-border transactions using tokenized versions of the US dollar or Euro on the blockchain instead of relying on traditional payment rails.
The primary goal of the experiment is to provide customers with firsthand experience of the speed, affordability, and reliability of cross-border payments facilitated by cryptocurrencies.
