Crypto is coming
When Overstock.com started accepting crypto for payment at the start of 2014, the world took notice in a big way, but eight short years later, the rest of the retail world finally seems ready to play catch up according to a new study published this week by the worldwide accounting firm Deloitte in conjunction with PayPal.
According to the study, a radical shift has occurred in less than a decade, with once-wary customers and retailers increasingly viewing digital currency through an optimistic lens.
The survey was conducted between December 3 and December 16, 2021, as a research vehicle to gain greater insights into the overall attitudes and investments in the adoption of digital currency payment systems.
The study sampled 2,000 senior executives from the retail industry who represent a range of sub-sectors including cosmetics, electronics, fashion, transportation, food, and beverage, and found out that nearly 75% of retailers plan to accept either cryptocurrency or stablecoin payments within the next two years.
The survey focused on US consumer businesses, with annual revenues ranging from below $10 million to $500 million and above, asking about their views on digital currency payments and the investments they’ve made in payment infrastructure, as well as their plans for the years ahead
Although digital currency payments may not yet be an everyday occurrence for the average customer, the study showed that overall interest in digitally native solutions is significant, especially among younger generations. It’s a sign to retailers that those that fail to embrace the customers’ demand for this trend run the risk of being left behind and losing out on profits.
Since the introduction of Bitcoin in 2008, customers have played a strong role in driving interest and adoption of digital currencies. More recently, as COVID-19 transformed the world, many companies accelerated digital transformations to respond to customers who embrace new, digital forms of money, leading to a recent boom in the crypto industry. Around two-thirds of surveyed merchants indicated that their customers have a significant interest in using digital currencies for payments, and 83% expect consumer interest in digital currencies for payments to increase or significantly increase over the next year
Nearly all the respondents agreed that the use of digital currencies for regular, everyday purchases will increase over the next few years. That means you could soon buy clothes, drinks, beauty products, and more with crypto.
But they concluded that continued education and broader learning are needed, along with further regulatory clarity, to allow for wider mainstream adoption across a broader set of financial service offerings and products.
Thumbnail Credits: Christopher German