Case Study: TransFi Helps PSPs Reduce FX Costs on Cross-Border Settlements

For payment service providers (PSPs), cross-border transactions are both an opportunity and a challenge. While global commerce continues to grow, settlement across multiple currencies introduces foreign exchange (FX) costs, delays, and inefficiencies. These costs eat into margins and can erode competitiveness.

In this TransFi case study, we explore how a leading PSP reduced FX costs on cross-border settlements by integrating stablecoin-based rails, achieving faster, cheaper, and more predictable results.

The Challenge: High FX Costs in Global Settlements

The PSP managed international merchant payments across Europe, Asia, and Latin America. Despite using traditional banking networks, they faced:

Excessive FX conversion fees – multiple intermediaries increased costs for every settlement.
Slow cross-border settlements – funds often took 2–4 business days to clear.
FX exposure – unpredictable rate fluctuations added risk to treasury operations.
Merchant dissatisfaction – delays and hidden fees reduced loyalty.

To stay competitive, the PSP needed a way to reduce FX fees, accelerate settlements, and provide merchants with more efficient payment options.

The Solution: Stablecoin Infrastructure for PSPs

The PSP integrated with TransFi’s stablecoin infrastructure, enabling blockchain settlement solutions for global payouts.

Here’s how it worked:

Stablecoin Payments for Cross-Border Settlements – USDC and USDT were used as on-chain settlement currencies, bypassing costly FX intermediaries.
Instant Global Settlements – Transactions cleared within minutes, not days.
FX Efficiency With Crypto Rails – Using stablecoins pegged to USD reduced exposure to volatile FX swings.
Seamless PSP Integration – TransFi’s single API allowed the PSP to support both fiat and stablecoin rails side-by-side.
Global Payment Settlements – Coverage across 100+ countries and 250+ local rails expanded merchant reach.

The Results: Lower FX Fees, Faster Settlements

After implementing TransFi, the PSP reported measurable improvements in just 90 days:

42% reduction in FX conversion costs – thanks to stablecoin-based settlements.
80% faster settlement times – funds moved in minutes rather than days.
Improved treasury efficiency – reduced FX exposure simplified cash management.
Stronger merchant retention – lower fees and faster payments increased satisfaction.

This case study on PSP cross-border payments highlights how blockchain-powered infrastructure delivers both cost savings and competitive advantage.

Why TransFi?

For PSPs, TransFi provides a bridge between traditional finance and blockchain innovation:

Cross-Border Settlements – instant, low-cost, and globally compliant.
Stablecoin Infrastructure for PSPs – leverage USDC/USDT for cost-efficient payouts.
FX Cost Reduction – minimize reliance on bank intermediaries and unpredictable FX spreads.
Future-Proof Settlement Rails – one API for fiat, stablecoins, and crypto payments.

With TransFi, PSPs can modernize settlement processes, reduce costs, and provide merchants with superior global payment solutions.

Also read: Malta’s Payment Rails & How They Work – SEPA, Mobile Wallets & Banking Services

Conclusion

Cross-border payments are the backbone of modern PSPs, but legacy systems make them costly and slow. By adopting TransFi’s stablecoin infrastructure, this PSP achieved significant FX cost reduction and faster, more reliable global settlements.

This case study demonstrates how stablecoin adoption in cross-border payments is not just innovative—it’s an immediate competitive advantage.

FAQs

1. How do PSPs reduce FX costs with TransFi?
By settling in stablecoins, PSPs bypass bank intermediaries, cutting down on FX fees while gaining faster settlement speeds.

2. What stablecoins are used for PSP settlements?
Most PSPs use USDC and USDT, given their liquidity, stability, and global acceptance.

3. Is stablecoin settlement compliant?
Yes. TransFi ensures every transaction is fully KYC/AML compliant, making it safe for PSPs to adopt.

4. How does this impact merchant satisfaction?
Lower FX fees and instant settlement improve merchant margins and cash flow, directly boosting retention.

5. What makes TransFi different from other solutions?
TransFi combines blockchain payments for enterprises, corporate treasury-grade compliance, and global reach in one API—making it a complete settlement optimization platform for PSPs.

Table of Contents

Suggested Article

Explore our products

Payouts

Make global payments at the speed of a click

Collections

Accept payments, remove borders.

Ramp

Unlock Seamless Digital Currency Transactions Anywhere

Effortless Cross-Border Payment Collections

As the world becomes more interconnected and businesses engage in global trade, the seamless collection of payments from across the globe is increasingly important. Whether you're an eCommerce merchant, a freelancer, or a global enterprise, TransFi’s Collections make collecting payments from customers and partners worldwide not only easy but also secure and efficient. TransFi eliminates unnecessary delays and currency exchange complexities, ensuring your funds are always readily accessible. Our Collections product provides a fully compliant, scalable payment infrastructure with support for over 50 currencies, offering instant settlements in stablecoins or other fiat and digital currencies.

By using TransFi’s Collections, businesses can provide their customers with easy-to-use and familiar local payment options. Our Collections product not only automates business payments but also streamlines global transactions, ensuring the utmost efficiency and reliability for businesses worldwide.

Global Payment Collection, Simplified

Due to differences in regulations, methods of payment, and currency exchange rates, international payments can be difficult to manage. TransFi Collections overcomes these barriers by providing a single platform for companies that allows for multiple methods of payment, such as bank transfers, e-wallets, and stablecoin settlements. This enhances operational efficiency and reduces manual work by allowing businesses to track, manage and reconcile payments through a single dashboard.

TransFi allows businesses to automatically generate and manage invoices, attach supporting documents, and issue reminders to customers to foster effective collections. This proactive approach reduces payment disputes and delays, all while improving cashflow and financial management.

Seamless Payment Collection Experience for Businesses and Customers

TransFi Collections is designed to give businesses an efficient and smooth payment solution with the assurance of a secure and frictionless customer experience. Through our platform, businesses can accept payments in local currencies and convert automatically to stablecoins or fiat, making the hassles of currency exchange a thing of the past. With rapid and trusted settlement, businesses do not have to wait for slow international banking processing times anymore, gaining quicker access to funds. Our APIs can also be incorporated directly within the platforms of businesses, minimizing manual intervention and facilitating payment processing. TransFi Collections also provides real-time insight into transactions using different analytics and reporting tools, empowering businesses with key insights. No matter your requirement, be it managing recurring payments, processing single invoices, or dealing with bulk collections, our solution automates payment workflows to reduce administrative efforts and maximize efficiency. By simplifying the payment processes for both companies and their clients, TransFi Collections optimizes financial operations so that firms can concentrate on development and customer satisfaction without worrying about delays in settlement or complicated integrations.

Benefits of Partnering with TransFi for Cross- Border Payment Collections

Collaborating with TransFi for cross-border payment collections guarantees an efficient and seamless process for companies across the world. With borderless payment collection, companies can receive payments anywhere in the world without having to go through different banking networks or paying high conversion charges. TransFi Collections allows companies to collect money from foreign customers through local payment channels, thus providing greater reach and conversion rates. Real-time settlements remove the delays of traditional banking and allow payments to be made in stablecoins or fiat instantly, providing continuous cash flow. Automated invoice processing streamlines payment processes, saving manual labor and boosting efficiency by creating invoices, adding required documents, and sending timely reminders. Scalable API integration enables businesses to seamlessly integrate TransFi Collections into their current platforms, making global payment collection scalable and efficient. Advanced security and compliance provide the assurance that all transactions are encrypted, secure, and regulated to the highest standards. TransFi Collections is not merely a payment gateway but a full suite of solutions empowering businesses with scalable, compliant, and efficient payment collection services. Whether you collect payments from suppliers, freelancers, or international customers, our platform provides timely, cost-saving, and secure transactions. Step into a digital future of payments with TransFi and feel the force of borderless, seamless collections.

Empower Your Business with TransFi Payment Collections

TransFi Collections is not only a payment gateway but a complete solution that empowers businesses operating across borders with secure, cost-effective, compliant, as well as scalable payment collection tools. From payment collections for goods and services to e-commerce transactions, TransFi Collections provides effortless, secure, and instantaneous settlements.

With TransFi, businesses can experience the future of digital payments and the power of borderless and hassle-free collections. Our user-friendly dashboard facilitates seamless transactions and allows businesses to collect payments against goods and services, experiencing transaction speeds in seconds. Freelancers and influencers can also benefit from real-time transactions, enhancing the efficiency of their global payment collections. Using our secure and scalable stack, e-commerce businesses can achieve 90%+ conversion rates, 99%+ uptime, and low latency, ensuring enterprise-level performance.

Integrate TransFi Collections with your business and experience secure, seamless, and scalable payments that are not only efficient and reliable but also globally compliant.