Settlement & conversion

The problem with traditional cross-border payments

When you send money internationally through a traditional bank, your payment passes through a chain of intermediary banks — known as the correspondent banking network. Each bank in the chain takes a cut, adds processing time, and may apply its own FX markup. A single international wire can involve 3–5 intermediaries, take 2–5 business days, and cost 3–8% in combined fees and FX spreads.

This system was designed decades ago and is slow, expensive, and opaque. It is why sending $1,000 from the U.S. to Brazil can cost $50–80 in total fees and take several days to arrive.

How Echlon settles differently

Echlon replaces the correspondent banking chain with stablecoin settlement. Instead of routing your payment through multiple intermediary banks, we convert value into stablecoins, move them across the blockchain in seconds, and convert them back into local currency at the destination.

This approach means:

• Fewer intermediaries: We work with a banking partner at each end of the transaction, but the value moves directly on the blockchain — no chain of middlemen
• Lower cost: Blockchain transfer fees are fractions of a cent, and we pass the savings through to you
• Faster settlement: The blockchain leg of the transaction settles in seconds. End-to-end timing depends on the local payment corridors at each end (see settlement times below)
• 24/7 capability: Blockchain settlement is not limited to banking hours

How an inbound payment works

When someone sends you money (for example, a customer in Brazil paying in BRL via PIX):

1. The sender initiates a payment in BRL through PIX (or another supported corridor)
2. Our banking partner in Brazil receives the BRL
3. The partner converts the BRL into USDC
4. The stablecoins are transferred on the Solana blockchain to your wallet
5. Your Echlon dashboard displays the received amount in USDC

The sender just sends BRL through their regular bank. They don't know or care about stablecoins. You just see USDC arrive in your Checking balance. Everything in between happens automatically.

How an outbound payment works

When you send money to someone (for example, paying a supplier in Mexico in MXN):

1. You initiate the payment from your Echlon dashboard, specifying the amount and recipient
2. The equivalent amount in stablecoins is debited from your wallet
3. The stablecoins are transferred on the Solana blockchain to our banking partner in Mexico
4. The partner converts the stablecoins into MXN
5. The partner deposits MXN into the recipient's bank account via SPEI (or another local corridor)

The recipient receives MXN in their regular bank account. They do not need an Echlon account, a wallet, or any knowledge of stablecoins.

FX conversion in detail

Currency conversion happens at two points:

The exchange rate you see in your dashboard includes both conversions plus any spread. Our total FX spread is less than 0.5% on most corridors — compared to 1–3.5% on platforms like Wise and PayPal, and 3–8% at traditional banks.

If we have to update the price before sending, for example because your payment waits for an earlier one from your account, your recipient still gets the same amount, but the amount taken from your balance can change. If your balance doesn't cover the new amount, the payment fails and nothing is taken. For more details on fees, see Fees & limits.

Settlement times by corridor

The transfer across our network happens in seconds. Total end-to-end time depends on the local banking system at each end — see the table below:

Still need help?

Have a question that isn't answered here? See our support channels, message us on WhatsApp at +1 (787) 468-5842, or open a support ticket — we typically respond within 24 hours.