Traditional cross-border payment and settlement methods have a long history, and methods such as letters of credit are still widely used. Facts have proved that in large-scale international trade activities, traditional cross-border payment and settlement methods are still the mainstream. Although its process is relatively cumbersome, it deserves recognition in terms of reliability.
In recent years, with the popularization of networking in various countries and people’s growing recognition of cross-border online shopping, cross-border e-commerce has gradually emerged, and cross-border e-commerce payment and settlement has emerged. Compared with traditional international trade, cross-border e-commerce is relatively small in size, but the transaction frequency is geometrically higher than that of traditional international trade, and transaction information is mainly in paperless form. In order to serve the booming cross-border e-commerce business, cross-border e-commerce payment and settlement methods have been constantly exploring and innovating in technology compared to traditional cross-border payment and settlement methods.
In the market, traditional cross-border payment and settlement methods and cross-border e-commerce payment and settlement methods will coexist in a complementary manner for a long time.