Gravity Team targets the stablecoin settlement bottleneck

Gravity Team recently launched an institutional over-the-counter desk designed to tackle these friction points, offering T+0 fiat settlement across more than 20 currencies. According to Beņķītis, traditional correspondent banking often leaves 20% to 40% of monthly transaction flows trapped in pre-funded accounts. By contrast, stablecoins can reduce this idle capital, provided the operator maintains robust local-currency books to handle the conversion once the token arrives on-chain.

The challenge lies in the second stage of the transaction: local payout. Every market features distinct regulatory requirements, banking hours, and liquidity depth. Gravity Team’s internal data indicates that while stablecoin transfers clear on-chain with over 99.9% reliability, the subsequent conversion into currencies like the Indonesian rupiah or Mexican peso remains susceptible to the limitations of local banking partners. This reality has prompted major players like Stripe and Mastercard to acquire specialized infrastructure providers, such as Bridge and BVNK, to gain tighter control over the bridge between crypto and fiat rails.

Gravity Team estimates that stablecoin settlement costs between 0.1% and 0.4% of the principal, significantly lower than the 3% to 11% range often associated with traditional correspondent banking. However, the commercial test remains the consistency of the final delivery. As emerging markets in Asia-Pacific and Latin America drive global crypto volume, the ability to guarantee settlement within a promised period—regardless of local banking volatility—has become the primary competitive frontier for financial institutions.