Cross-border payments are inherently a good business; the key is how you play it. Someone has discovered a logic to make money from exchange rate differences — by exploiting the exchange rate gap of USD1, a stablecoin, across more than 20 major currencies worldwide to achieve risk-free arbitrage.

The core idea is actually simple. First, keep real-time track of the USD1 exchange rate fluctuations in different regions. When Southeast Asia's rate is more than 0.5% higher than Europe and America, there's an opportunity. The second step is to use fiat currency to buy USD1 in regions with lower exchange rates (like Europe and America), then transfer it via cross-border payment channels to Southeast Asia, and finally exchange it back to local fiat currency at the higher rate to earn the spread. The key is that the entire process has very low costs — only about 0.1% exchange fee, far below traditional banks' 3%-5% rates.

The fiat currency after arbitrage shouldn't just sit idle; it can be converted back into USD1 and placed into the PSM pool for yield farming, waiting for the next arbitrage window. For example, with $100,000, a 0.8% exchange rate difference can earn $800, and after fees, a net profit of $700. The whole operation takes only about 10 minutes.

This method is most practical for those engaged in cross-border trade or overseas investment. The risk-free aspect is a selling point, and USD1 cross-border transfers don't require the complicated approval process of banks — instant到账. However, be sure to operate during periods of high exchange rate volatility, such as when international financial markets open, to maximize arbitrage opportunities. Also, plan your fund flow carefully to avoid being blocked by regional policy restrictions.