Cryptocurrency adoption is the hottest topic right now within the crypto space. Cryptocurrency executives haven’t yet figured out how the snowball event where just about everybody will start using cryptocurrencies will occur.
In truth, it may never happen. It will take a black swan event on the scale of the COVID-19 pandemic for that to happen. However, recent data suggest that more people are using cryptocurrencies, regardless.
A new study conducted by Forrester Consulting indicates that more users are coming into the crypto space.It is good news, but more needs to be done to improve the trend.
E-Crypto News reached out to Bill Zeilke, CMO of Cryptocurrency merchant solutions company BitPay on this thorny issue.
Here is what he had to say:
Bill Zeilke, CMO BitPay
1. Do you think cryptocurrency adoption is growing? Please give us the reasons for your answer.
Adoption is growing as we are seeing increases in both consumer and merchant uptake (purchases, app downloads, and merchant signups).
As an industry, adopting blockchain payments is easier than ever for first time users. For example, we are seeing more users buy crypto through the BitPay app, turn crypto into dollars with BitPay’s new Mastercard, and begin accepting crypto for purchases via a BitPay business account.
Our stats page will highlight our latest results. (https://bitpay.com/stats). Moreover, the value prop for merchant acceptance is also becoming more clear (link to Forrester). Accepting crypto attacks affluent buyers who spend more than other payment methods and are often new to the merchant.
We believe this value is what has led to increased adoption by more mainstream merchants like Take Two, Twitch, Prager Metis, Turner Sports, and more (https://bitpay.com/directory/).
2. What are the advantages of making payments with cryptocurrencies?
There are many benefits to consumers wishing to pay for goods and services with crypto. For consumers in countries without access to credit cards or banking services or where their credit cards are not accepted, crypto gives these consumers access to a whole world of goods and services.
Additionally, for minimal expenses, like under $5 for in-app payments or gaming, crypto is an ideal method as the consumer’s credit card is not required reducing risk of identity theft and fraud.
BitPay makes it easy for the merchant to accept crypto and so consumers have more places to shop.
3. What incentives does BitPay offer to new users of its service?
BitPay is a payment processor and provides all customers with the benefit of accepting crypto. Blockchain payments are faster, cheaper, and safer than traditional payment methods. First they are more efficient.
Blockchain payments leverage the core concept of decentralized ledger technology, forgoing the need for banks and traditional centralized institutions.
Paying on a blockchain is also faster for global transactions as bank accounts and wires can be slow and expensive, often taking days to complete, whereas blockchain payments process in minutes.
All transaction details can be viewed anytime by anyone on a public ledger. Lastly, blockchain-based cryptocurrencies can be transferred (and recorded for auditing purposes) instantaneously all across the world , increasing liquidity and efficiency across the markets.
4. What are the benefits of using BitPay services?
BitPay is one of the oldest blockchain companies and was founded in 2011. The company supports all of the leading coins, Bitcoin, Bitcoin Cash, XRP and ETH, as well as four dollar-pegged stablecoins, USDC, GUSD, PAX and BUSD, operates globally and settles to the merchant in fiat the next business day.
5. How can you teach the average Joe or Jane about cryptocurrencies with all the technical stuff out there? What would be your approach?
For someone who is unfamiliar with crypto, most vendors, including BitPay, offer explanations, online resources and a fast and smooth mobile experience.
At BitPay, we provide users an easy to use app to store crypto safely and securely, get a debit card to turn crypto into dollars for spending or buy gift cards or make online purchases. Essentially, BitPay offers all the financial tools a customer needs in a single app.
6. What segment of the population is coming into the crypto space? Why is it happening now?
Traditionally, crypto users skewed younger to high school and college age males. Today, we see a more affluent male, 35-45, that is tech centric, affluent and embraces all things modern, innovative and forward looking.
7. Do you think we are seeing a shift from the traditional payment systems to a new payment paradigm? Please give us the reasons for your answer.
Yes, and to help us quantify that we worked with Forrester on the report that you received
Businesses are always looking for new growth opportunities and accepting crypto as a payment alternative. Accepting crypto helps merchants attract new customers, more than double purchase amounts and grow sales.
The Forrester report indicates that on average merchants experience 3-5% of sales using crypto. And, crypto users spend twice as much as those who pay with credit cards.
8. How can merchants sign up for BitPay and get involved in accepting cryptocurrencies? What are the processes they have to go through to get approval?
It takes just a few minutes to get up and running on the BitPay web site (https://bitpay.com/). BitPay has a dedicated integration team to ensure a smooth and seamless onboarding process. All of BitPay’s documentation is available online.
9. What strategies has BitPay put in place to stay ahead of the competition? Any takers?
We listen to our customers and track what is going on in the market to provide not only what they need but what they will want.
This year, we updated the BitPay Wallet to enable users to buy crypto using Simplex or Wyre, integrated four new stable coins, enhanced users ability to see their Coinbase accounts from within the BitPay account, support for SegWit, and Darkmode among other enhancements. We also launched a new Mastercard and retail point of sales payment option with Poynt.
10. If you had three wishes for BitPay and a Genie that could make them come true what would they be?
Many people are unaware of the many benefits of blockchain payments or do not understand how companies can benefit.
As an industry we need to do more education to communicate and demonstrate the benefits crypto offers. Our first wish would be to remove the fear, mystery and negativity surrounding the industry.
Second, we would like to see more merchants accept bitcoin and other cryptos. Lastly, additional regulatory and compliance standards to boost consumer trust and confidence.