Brazilian Stablecoins

Treasurer Paying Overseas Suppliers: Stablecoin FX Through an API With a Lower Spread Than the Bank in Brazil

How a treasury checks the Crown FX API spread against the bank's FX spread on supplier payments.

In the Crown FX API the quote comes with the whole spread visible and execution follows at the locked price. The aim is a spread below the bank’s, with no percentage published.

How the treasury checks

  1. Log the API quote and the bank’s quote at the same instant, for the same amount.
  2. At the bank, add spread, fees and IOF (up to 3.5%).
  3. At Crown FX, FX IOF does not apply to virtual assets.
  4. Compare total cost, and repeat on other days and with other amounts.

Context. Crown works with global liquidity providers that deal with it because they trust its compliance processes. The documented ceiling for payments is US$ 100,000 per operation, and Crown gives no tax advice.

See traditional FX versus stablecoin FX, the Liquidity Provider and FX-as-a-Service models and paying Brazilian suppliers with a stablecoin.