THE FINTECH INTERVIEW
margins or inflate costs unexpectedly. Stablecoins, particularly those pegged to major fiat currencies, can eliminate such risk entirely. Locking in value at payment initiation transforms currency“ exchanges” into instantaneous digital handoffs without fluctuation exposure.
“ Yes, when used correctly, stablecoins can eliminate one of the biggest pain points in cross-border payments, counterparty FX risk,” Saurabh explains.
“ That risk arises when a business agrees to pay a supplier in one currency, but by the time the funds are converted and settled, the exchange rate has moved unfavourably.”
Multinational corporations find that this fundamentally changes treasury risk management strategies. Instead of complex hedging mechanisms or timing conversion strategies, companies can simplify settlement logic entirely.“ Stablecoins, pegged to fiat currencies like the US dollar, resolve this by locking in value at the moment of payment,” Saurabh continues.“ Payments are instant, and there is no fluctuation between when a payment is initiated and received.”
Capital and management time previously devoted to currency risk mitigation becomes available for other priorities. As stablecoin usage matures, FX risk reduction may become one of global finance teams’ most compelling operational benefits.
Prioritising modern payment rails over legacy systems Given compelling operational and financial benefits, why aren’ t more businesses making the switch?
30 October 2025