Cryptocurrencies such as bitcoin are slowly making a transition from speculative investment instruments to payments. Special attention to payment habits and the financial life cycle as the COVID-19 pandemic leads to more calls for dematerialization of payments.
Overview
Impacts
- Geographic location matters significantly when measuring awareness of cryptocurrencies and interest in making cryptocurrency payments for goods and services.
- For customers, any transition from currency speculators to retail shoppers is not straightforward.
- And most consumers are not currency speculators.
- The acceptance cost for businesses will be significant, especially compared to alternative existing payment options.
- Companies accepting cryptocurrencies as payment for goods and services may benefit from short-term public relations gains and be perceived as innovators, but the impact on payment acceptance is very likely to be short-lived.
Recommendations
Banks and investment CIOs driving financial services digital business strategy and innovation should: