Paraguay has modernised its payments system in recent years. Since 2022, the Instant Payment System (Sistema de Pagos Instantáneos, or SPI) has allowed people to send money between banks and digital wallets at any time of day, with transfers completed in seconds. By mid-2025, SPI was handling around 28 million transactions each month and moving more than 82 trillion guaraníes a year. This growth shows that people in Paraguay want payment methods that are fast, simple and low in cost, but it leaves the issue of unlocking global liquidity in the country.
What remains difficult, is staying liquid: having quick and affordable access to usable money. When funds need to move in, or out of Paraguay, whether for expats, freelancers or businesses, the process often comes with high fees, and long delays.
Why cross-border payments remain costly
Moving money into, or out of, Paraguay is much more expensive than paying within the country. Around the world, sending a US$200 remittance costs on average more than 6%, and that figure is similar in Latin America. This may not sound like a high percentage, but costs quickly add up. For families, this can mean losing a week’s worth of groceries. For freelancers, it cuts into their earnings before the money even arrives.
Traditional money transfer services often come with multiple charges. Some online platforms take about 2% of the amount sent, while the priciest ones can charge over 6%. Banks also add their own fees for sending or receiving international wires, often more than US$20 per transfer. On top of this, customers lose more money through unfavourable exchange rates. For example, if the market rate is 1 dollar for 7,200 guaraníes, a bank might only offer 7,000.
Bureaucracy adds another layer of difficulty. Many Paraguayan residents still depend on cash, and newcomers who want to open a bank account need several documents, including a passport, proof of residence and a tax number. Freelancers who work with clients abroad often wait days for their payments to clear. Small businesses sending or receiving money face a chain of intermediaries, which makes settlement times uncertain, and sometimes costly.
Domestic innovation shows the gap
The success of SPI shows how much people in Paraguay value speed and convenience. Payments are completed in seconds, fees are very low, and many transfers cost nothing at all. Today, more than half of all adults in Paraguay have a bank or wallet account. This is a major change from ten years ago, when most people were excluded from the financial system.
The drawback of SPI is that it only works within Paraguay. It cannot be used to send money to countries such as Spain, the United States or Argentina. Anyone needing to move funds abroad still has to rely on expensive bank transfers or cash-transfer services. Some even carry money with them when travelling, although any amount over US$10,000 must be declared at customs.
The promise of crypto
Digital assets provide another way to move money without relying on costly remittance services or cross-border restrictions. One example is stablecoins, which are digital tokens tied to the value of regular currencies like the dollar or euro. Sending stablecoins is inexpensive, usually costing only a few cents to a few dollars. This is because they run on blockchains, which are digital payment networks that process transactions without banks. Depending on the network, payments are usually confirmed within seconds to minutes, giving users quick access to liquidity.
Unlocking global liquidity: Where X4T fits in
X4T is Paraguay’s first licensed crypto exchange. It operates on the BEP20 network, part of Binance Smart Chain, which is known for low fees and fast processing. Transfers on this blockchain are confirmed in seconds and usually cost only a few cents per transaction.
The real advantage comes when turning digital assets into cash. “Effortless conversion between cryptocurrencies and fiat currency to stay liquid at all times,” X4T notes.
X4T charges fees starting at 1.81% to convert crypto into guaraníes or dollars. This gives newcomers in Paraguay a direct way to put their crypto to use the moment they land. Instead of wiring money through banks, paying multiple intermediaries, and waiting for funds to arrive, they can visit X4T’s office in Asunción – located in the Top Business Center on Avenida Aviadores del Chaco 1529, Floor 16, Office 1602 – and cash out within minutes. Compared with remittance services that often take 5–6%, the difference in both cost and convenience is significant.
The same advantages extend beyond expats. Freelancers and remote workers can invoice clients in stablecoins, receive payment instantly, and choose the best moment to convert their earnings into guaraníes or dollars. This gives them more control over exchange rates while avoiding the high fees and delays of SWIFT transfers. Clients abroad also benefit, since blockchain payments are quick and inexpensive.
Small businesses and exporters gain similar value. Instead of waiting days for international transfers to clear, they can settle with suppliers or receive payments almost immediately. Faster settlements improve liquidity and reduce the uncertainty that often comes with cross-border banking.
The future of liquidity in Paraguay
Paraguay’s use of SPI and mobile wallets has already opened the door to greater financial inclusion. The challenge that remains is the high cost of moving money across borders, which continues to reduce the value of people’s earnings.
Stablecoin platforms built on efficient networks such as BEP20 offer a way forward. X4T combines the speed and low cost of blockchain with the reassurance of being a regulated exchange inside Paraguay. This makes it far easier for individuals, freelancers, expats and businesses to unlock global liquidity: to bring money into Paraguay, convert it, or send it abroad.
About the author:
Stijn McAdam is an independent analyst focusing on finance, technology, and geopolitics. A former military and law enforcement officer turned entrepreneur and global investor, he writes about markets, sovereignty, and global shifts in power. He is the author of Fit & Free, Crypto from Scratch, and Trade Smart, and regularly shares insights at stijnmcadam.com.
