The financial technology of the world experienced a lot of changes and positive impacts with the development of blockchain. In 2014, there was a significant development in financial system with the creation of Abra. Abra is the first blockchain-based remittance platform. It was founded by Bill Barhydt, a former NASA engineer. Abra's target was to revolutionize the way people send and receive money across borders. It was basically a cross border, low cost, time saving and secured solution to the traditional financial system of transfering money across the border.

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Genesis of Abra

Bill Barhydt's vision for Abra stemmed from the frustration he experienced when trying to send money to family members living abroad. He recognized that traditional remittance methods were costly, slow, and often inaccessible to many who needed them the most. This realization prompted him to explore blockchain technology as a potential solution. Abra officially launched in 2014 with the mission to make international money transfers faster, cheaper, and more convenient. The platform harnessed the power of blockchain technology, specifically Bitcoin, to facilitate cross-border transactions seamlessly.

Features of Abra

Blockchain-Powered Smart Contracts:

Abra's innovative use of blockchain technology revolved around the creation of smart contracts. Abra users would deposit funds into the app, which would then be converted into Bitcoin and stored in a multi-signature smart contract. The recipient, even if they didn't have the Abra app, could receive the funds in their local currency through a network of tellers.

Global Teller Network:

Abra's unique feature was its global teller network. These tellers, often individuals in various countries, acted as intermediaries for cashing out funds to recipients who didn't have a bank account or the Abra app.

Currency Conversion:

Abra enabled users to hold and transfer funds in various fiat currencies. The conversion between different currencies was facilitated through the Bitcoin-based smart contracts.

Cost-Effective Remittances:

Abra's approach significantly reduced the cost of international money transfers compared to traditional remittance services.