Venezuelan companies that trade with European suppliers generally need to pay invoices in euros. However, misconceptions about this practice don’t reflect the current reality of digital payment methods, leading organizations to overlook more efficient alternatives.
Currently, stablecoins (such as USSDT), B2B payment processors, and multi-currency conversion platforms have transformed the landscape of international euro transfers, leaving behind many of the limitations that existed in previous years. Below, we share the most common myths about international payments in euros from Venezuela.
You can only pay in euros if the supplier is in the European Union
Many companies assume that euro payments are exclusively limited to recipients within the Eurozone. While it’s true that the European Union accounts for the largest volume of transactions in this currency, the euro is also accepted as a payment currency in numerous countries in Asia, the Middle East, and Africa, where suppliers in various sectors (such as technology or manufacturing) invoice in euros to achieve greater stability or avoid exposure to a “negative” exchange rate from the US dollar.
Expanding the search for suppliers beyond the European Union is a good option for companies that want to diversify their sourcing. By having a payment channel that accepts euros without geographical restrictions, the company can negotiate with counterparties in markets where invoicing in that currency is common practice, accessing commercial terms that would otherwise go unnoticed.
Payments in euros are more expensive than in dollars
There is a perception that euro transfers incur higher fees or less favorable exchange rates than transfers in dollars. This idea stems largely from the fee structure of traditional banking, where transactions in currencies other than the dollar typically involve more intermediaries, each applying its own commission margin.
With blockchain-based payment platforms, the source and destination currencies do not determine the transaction cost. The fee depends on the network used and the provider processing the conversion, not the currency itself. By understanding how USDT-to-euro conversion works, companies discover that the cost of sending euros can be similar to sending dollars, provided they choose a service with a transparent fee structure and a competitive spread.
Is it necessary to have a bank account in Europe to receive euros?
Another common misconception is that the recipient of the payment must have an account at a European bank for the euro transfer to be completed. This belief originates from the SWIFT system, in which each bank participating in the correspondent banking network must be authorized to operate in the currency of the correspondent bank. Currently, euro payments can be made using stablecoins pegged to the euro or through platforms that convert cryptocurrencies to euros and deposit them directly into the supplier’s bank account, regardless of the supplier’s location. For Venezuelan companies operating in USDT, this option represents a natural extension of their operations, eliminating the need to open new accounts or comply with the strict requirements of certain regions.
Stablecoins Only Work for Dollar Payments
Since USDT and USDC are pegged to the US dollar, some business owners mistakenly conclude that stablecoins are not useful for processing payments in other currencies. However, both USDT and USDC can serve as bridge currencies: the company sends the stablecoin, and the payment platform converts it to euros before the funds reach the recipient.
This automatic conversion mechanism eliminates the need for the supplier to accept cryptocurrencies directly, thereby expanding the range of counterparties with which they can transact. Understanding the main differences between stablecoins helps choose the one that best suits this operation, as some offer advantages in audit frequency or liquidity on the most widely used networks for euro conversions.
The Digital Euro Will Make Euro Payment Solutions Obsolete
With the digital euro project in its pilot phase, the idea has emerged that other alternatives for paying in euros from abroad will soon become obsolete. While the digital euro promises to modernize retail payments within the eurozone, its implementation for cross-border corporate transactions remains undated, and its initial scope will focus on individuals rather than companies in third countries.
Venezuelan companies cannot base their current decisions on a regulatory development that is still underway. While the digital euro is being implemented, B2B payment platforms already allow settling invoices in euros with confirmation times measured in minutes—an operational advantage that should not be deferred while waiting for a solution that could take years to become operational for the Latin American corporate sector.
Euro payments are subject to more regulatory hurdles than dollar payments
Some companies avoid operating in euros because they assume compliance requirements are greater than those for dollar transfers. While it’s true that the European Union has implemented strict regulations to prevent money laundering, these regulations don’t apply exclusively to the euro. They cover any transaction involving European financial institutions, regardless of the currency used.
Platforms that operate with cryptocurrencies and have incorporated the euro as a settlement currency typically have compliance frameworks that already address European requirements. Therefore, making payments in euros using cryptocurrencies doesn’t impose an additional regulatory burden on Venezuelan companies, provided the payment provider is properly structured to operate in that environment.
What are your thoughts on this? Do you know of any other myths about international payments in euros from Venezuela?
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