From its creation to the present, the cryptocurrency industry has grown exponentially. Therefore, using these digital tokens as a means of payment has several advantages. Many people are more familiar with paying in fiat currencies such as US dollars. However, adding cryptocurrencies to an already established payment method would be a huge advantage.
Some of the significant advantages of implementing cryptocurrencies as a means of payment are better control over funds, simplicity, privacy, lower fees and security. However, people still fail to see these advantages, thus underestimating the payment value of these digital tokens.
Opinion of Vitalik Buterin
In addition, Vitalik Buterin, co-founder of Ethereum, also revealed his views on the case. He cites what people say about the superiority of digital currencies. Because of this fact, many of them don’t see the huge boost this can have on global business, payment transactions within countries, and philanthropy.
Cryptocurrencies are not only ideal for payments because they are censorship resistant. Additionally, payment transactions in digital currencies can be performed seamlessly, which is another reason for its advantages. Quoted by Buterin in an article tweetThe above examples he pointed to are some of the areas where these digital currencies could prove useful.
Crypto Adoption Report
Data platform PYMNTS revealed some information about the adoption of digital currencies. According to its report “Paying with Digital Assets,” July saw some notable increases in the implementation of cryptocurrency payments.
About 85% of companies surveyed with $1 billion in annual revenue said they use digital currencies as a means of payment. It added that businesses implement digital tokens to increase the number of customers.
In addition, the use of crypto-based debit cards for transactions is also growing rapidly. Therefore, some cryptocurrency exchanges are currently working with certain debit card providers.
For example, as the company announced, Binance’s partnership with Mastercard brings the Argentine prepaid card. Additionally, additional benefits such as cashback rewards make the adoption of cryptocurrencies as a payment method more positive.
Adopting cryptocurrencies as a payment method for charitable donations and international transactions will also help address transaction delays, Vitalik said. He makes this point when he cites the use of fiat currency as a delay strategy. This is because it takes time and a huge expense to complete the processing.
While cryptocurrency payments sound like a good idea, some people still see why it can go wrong. This has to do with the volatility of tokens and the risks involved in using them.
Additionally, others complained about the speed of large transfers using cryptocurrencies like BTC. However, Bitcoin is struggling to control such problems.
Featured image from Pixabay, chart from TradingView.com
