Indian Remittance Shift to USDT Gains Momentum as Premium Hits 4-5%

Based on CoinEdition, a growing number of Indians working abroad are using stablecoins like USDT to send money home, as the token trades at a 4-5% premium in India. This allows $1,000 sent via USDT to fetch ₹93,150, compared to ₹88,600 through traditional banks. Market estimates suggest 3-4% of remittances have shifted from banks to stablecoins, with money changers facilitating the process through peer-to-peer platforms or local exchanges. The trend is driven by the arbitrage opportunity and faster, cheaper transactions, though it operates outside formal financial channels. Crypto Legal founder Purushottam Anand noted that some jurisdictions now allow money transmitters to handle remittances in both fiat and crypto. The rising demand for USDT is attributed to its use in hedging against crypto volatility and offshore gaming activities.