Robocoin has developed a new ATM system that enables cash to be sent to another account or ATM without the high-cost that remittances usually carry.
Bitcoin is up until now the best way to avoid the high cost of remittances and now Robocoin streamlined this process even further.
Romit is Robocoin’s new product and the developers have enabled a way to send cash through a Robocoin ATM to another ATM or merchant account at fees far lower than other remittance providers.
Robocoin CEO Jordan Kelley, says:
“Romit enables unprecedented low-cost global money transfers by leveraging Bitcoin’s underlying blockchain technology, while also removing bitcoin from the customer experience.”
Currently, there are a few companies providing far less costly transaction services and by partnering with some these and creating new channels beside their own, Robocoin will be able to extend its operation to a wider area. With this new product, Robocoin has also shown intentions of becoming strong competition for Western Union to face.
The system is still growing and they were working with local merchants to exist as ad hoc ATMs. The plan is to offer 4% fees vs. 25% and more at other providers. They will also support micro-remittances, namely those under $200, thereby allowing the unbanked to send cash home. Robocoin already found partners in countries such as Romania and Italy, opening a $1.1bn remittance corridor, and have been working towards market penetration while looking to scale from a few kiosks to hundreds of them.
Robocoin runs 20 ATMs around the world and is expanding rapidly. The company is looking to have hundreds of Romit available locations spread around the world before the end of 2015.