London, UK– Cryptocurrency is one of the most buzzed-about technology trends in the last five years. Recent years have seen a dramatic rise in its popularity, with dozens of different coins now available on the market. While once seen as a fringe interest, cryptocurrency is now mainstream, with millions of people worldwide investing in coins such as Bitcoin and Ethereum.
Experts say that the growth of cryptocurrency has also had a significant impact on the world of E-commerce. HubbleBit’s expert Kate Hamilton also says that for businesses, accepting cryptocurrency payments can help to reach a wider audience, as more and more consumers are looking for places to spend their coins.
In addition, blockchain technology, which is the basis for most cryptocurrencies, offers significant potential for streamlining supply chains and other business operations. As cryptocurrency gain more popularity, it is expected to have an increasingly profound impact on the world of e-commerce.
The Impact of Cryptocurrency on E-commerce
In the past decade, cryptocurrency has had a significant impact on e-commerce. One of the most significant impacts has been the ability to make payments without using a traditional banking system. It has enabled businesses to operate in countries where banking systems are unreliable or non-existent.
In addition, cryptocurrency has also made it possible to conduct transactions without incurring fees. It has made it especially attractive to small businesses and individual sellers who might otherwise be unable to accept credit card payments.
Finally, cryptocurrency has also helped create new markets by making it possible to buy and sell goods and services without government regulation. As a result, crypto-based e-commerce is expected to continue to grow in the coming years. Many major payment processors and brands, such as eBay and Paypal, have already started accepting cryptocurrency as payment. According to Gartner, 20% of large organizations will start using digital currencies, including crypto, in the next two years.
In March 2021, PayPal introduced “Checkout with Crypto,” allowing US consumers to make online purchases using their crypto coins. Meanwhile, eBay has shown interest in accepting cryptocurrencies in the future as they are keeping an eye on them.
The other early adopters of cryptocurrency include major retail players such as Overstock, Microsoft, Wikipedia, and Shopify. These brands have been able to take advantage of the benefits of crypto and offer their customers more flexibility when it comes to payment options.
We can expect to see more companies adopting crypto in the future as the benefits become more widely known.
Why Should E-commerce Businesses Start Considering Cryptocurrency Payments
Kate Hamilton has made some points and shared some reasons why e-commerce brands should start considering cryptocurrency payments. Here are some of the key takeaways:
- Widespread Adoption: The number of people using cryptocurrency is growing every day. It means that there is an increasing demand for businesses to accept crypto as payment.
- Lower Fees: Cryptocurrency transactions often have lower fees than traditional credit card payments. It can help to increase profit margins for businesses.
- Reach A Wider Audience: Cryptocurrency is global, meaning businesses that accept crypto can reach a wider audience than those that only accept traditional payment methods.
- More Security: Blockchain technology, which is the basis for most cryptocurrencies, offers businesses a higher level of security than traditional payment systems.
- Innovation: Cryptocurrency is an innovative technology that is constantly evolving. It means that businesses that accept crypto can be at the forefront of the latest trends and developments.
- Increase Brand Awareness: Businesses that accept cryptocurrency can increase their brand awareness by associating with this new and exciting technology.
- No Chargebacks: Unlike credit card payments, cryptocurrency payments cannot be reversed. It can help to reduce fraud and chargebacks for businesses.
- Increased Sales: As the number of people using cryptocurrency grows, so does the number of people looking to spend their coins. It can lead to increased sales for businesses that accept crypto.
- Hedge Against Inflation: Cryptocurrency can be used as a hedge against inflation. It means that businesses can protect themselves from the eroding effects of inflation by holding some of their assets in crypto.
- Attract Young Customers: Cryptocurrency is popular with young people, who are often early adopters of new technology. It means that businesses that accept crypto can attract young customers.
- Get Ahead of the Curve: Cryptocurrency is still in its early days, which means that businesses who start accepting it now can get ahead of their competitors.
- It’s the Future: Cryptocurrency is here to stay, and it will only become more prevalent in the years to come. Businesses that start accepting crypto now will be well-positioned for the future.
As cryptocurrency’s demand continues to grow, so does the need for businesses to accept crypto as payment. There are plenty of benefits to doing so, including lower fees, increased sales, and the ability to attract young customers. Those who start accepting crypto now will be well-positioned for the future.
Disclaimer: Our content is intended to be used for informational purposes only. It is very important to do your own research before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you find in this article and wish to rely upon, whether for the purpose of making an investment decision or otherwise.