What advantage can Bitcoin offer for cross-border payments?
Correct answer
Answer B: Transfer over the Bitcoin network without a correspondent bank.
Quick explanation
Bitcoin transactions can cross borders over the same network without requiring a correspondent-bank chain for the network transfer itself. Fees, currency conversion, service providers, and local rules can still matter.
Detailed explanation
A Bitcoin transaction is broadcast as a digital message over the Bitcoin network. The network transfer itself does not require a correspondent-bank chain for each pair of countries. The recipient can verify the payment from network data.
This technical advantage does not mean every cross-border payment is free or completed immediately. On-chain payments may involve fees and waiting times. If sender or recipient converts to another currency, exchange rates and possible provider charges also apply.
Technical transferability does not override local rules. The card describes a digital payment route, not exemption from legal or contractual duties. What matters is considering technical possibilities, costs and the particular use context separately.
Example or everyday application
Someone sends an on-chain payment to a verified address abroad. The transaction travels over the Bitcoin network without requiring a correspondent-bank chain for the network transfer itself. Currency conversion or service providers can still add costs and rules.
Common misconception
Cross-border transferability means neither automatically free nor independent of all rules and providers.
What the sources support
The World Bank documents the real costs of small cross-border remittances. Bitcoin.org describes digital peer-to-peer transfers. The bridge is the cross-border payment route; fees, spreads, exchange rates, service providers, and local rules can still change the overall cost.