Asian migrant workers in the Gulf are exploring stablecoins for remittances due to fears of US sanctions disrupting traditional channels amid the Iran war. This affects economies reliant on these funds.

Asian migrant workers in the Gulf are testing stablecoins as a backup channel for sending money home, as the Iran war heightens fears that the risk of US sanctions could disrupt remittances that millions of families and several Asian economies rely on. Remittances from these workers account for 3 per cent to 5 per cent of gross domestic product in several emerging markets – in Nepal, it is as high as 10 per cent, according to data from the Global Settlement Network. Concerns over remittance...