ARF, a Swiss fintech licensed in 2019, launched a USDC-based credit line product to solve the cross-border payments liquidity problem by offering short-term, uncollateralized revolving credit to financial institutions, enabling same-day settlement and reducing pre-funding capital requirements.
ARF presented its solution to the cross-border payments industry's liquidity challenge. The company, established in 2019 and headquartered in Switzerland, pivoted from on/off-ramping to focus on the pre-funding problem where financial institutions lock up over $4 trillion in correspondent bank accounts. ARF's credit line product, launched in 2022, provides USDC-denominated, short-term, uncollateralized revolving credit to payment companies and remittance providers. The solution enables settlement in under 15 minutes by sending USDC directly to payout partners' wallets, eliminating SWIFT delays. Within 10 months of operation, ARF facilitated nearly $500 million in cross-border payment volume. A UK remittance company case study showed 27% volume increase after implementation. ARF partners with Stellar, Circle, and Huma, and plans to launch a transparency protocol tokenizing credit claims on-chain, with ambitions to bring cross-border payments volume to Soroban.