Global payment fintech RedotPay has partnered with Ripple to launch a new remittance service designed to tackle the high costs and slow speeds of cross-border payments into Nigeria. The collaboration sees the launch of a “Send Crypto, Receive NGN” feature, which allows users to convert digital assets like stablecoins directly into Nigerian Naira (NGN) for payout into local bank accounts.
The move comes as Nigeria continues to cement its status as one of the world’s most vibrant markets for digital asset adoption. With remittance flows into the country reaching approximately $21billion in 2024, the demand for efficient cross-border payment rails has never been higher. However, traditional remittance channels remain plagued by inefficiencies, with average costs for sending money to Sub-Saharan Africa hovering around 8.78 per cent—significantly higher than the global average.
Bridging the gap for the digital workforce
RedotPay’s new feature is squarely aimed at the growing demographic of “digital nomads,” freelancers, and remote workers who earn in foreign currencies or digital assets but need to spend in local fiat. By integrating Ripple’s enterprise blockchain network, Ripple Payments, RedotPay aims to slash settlement times from the typical one-to-five business days down to just minutes.
“RedotPay is building stablecoin‑powered payments that make digital assets as easy to use as local currency,” said Michael Gao, CEO and co‑founder of RedotPay. “Users can send XRP or stablecoins securely and receive NGN within minutes. The integration of Ripple Payments will expand RedotPay’s global reach and better serve the evolving needs of our users.”
The service currently supports a broad basket of cryptocurrencies, including major stablecoins like USDC and USDT, as well as XRP, Bitcoin, and Ethereum. The company has also confirmed plans to support Ripple’s upcoming USD-pegged stablecoin, RLUSD, in the future.
Nigeria’s shift to stablecoins
The launch taps into a broader shift in Nigeria’s financial behaviour. Faced with currency volatility and inflation, many Nigerians have turned to dollar-pegged stablecoins not just as a store of value, but as a pragmatic tool for everyday transactions. Reports indicate that stablecoins now account for a significant portion of the country’s crypto transaction volume, which reached nearly $59billion in the year ending June 2024.
Unlike in Western markets where crypto is often a speculative asset, in Nigeria, it is a vital utility. The “Send Crypto, Receive NGN” feature addresses the “last mile” problem, providing a seamless off-ramp for these digital assets into the real economy.
Jack Cullinane, head of commercial, Asia Pacific at Ripple, commented on the utility of the partnership: “Our partnership with RedotPay demonstrates the real-world utility of our licensed payments solution in solving the immense friction of global cross-border payments. Ripple Payments makes sending money across borders faster, more reliable and affordable for consumers and businesses alike.”
Expanding the payment corridors
This Nigerian launch is part of a wider strategy by RedotPay to open up payment corridors in emerging markets. The company has recently rolled out similar “Send Crypto, Receive Fiat” capabilities for the Brazilian Real (BRL) and Mexican Peso (MXN), targeting regions where traditional banking infrastructure often fails to meet the needs of the modern digital economy.
By leveraging Ripple’s established global network, RedotPay is positioning itself as a bridge between the crypto ecosystem and traditional finance. As the digital asset market in Africa matures—driven by a young, tech-savvy population and a pressing need for financial alternatives—infrastructure plays like this are likely to become the backbone of a new, more inclusive financial system.
The post RedotPay and Ripple Partner to Launch Instant Crypto-to-Naira Payouts for Nigeria appeared first on The Fintech Times.
