Consumers have become increasingly aware of and engaged with cryptocurrencies in recent years. Cryptos are no longer just stores of value or means of investment, as the FinTech and banking industry is now offering crypto payment solutions. Crypto cards, for example, enable consumers to make purchases using crypto by automatically and instantaneously exchanging crypto to the local currency.
Procedures and protocols are also maturing, although sometimes at the cost of certain features that crypto users are accustomed to. There are even certain cryptocurrencies called stablecoins where the value of a token is pegged to that of an existing fiat currency to give customers peace of mind regarding volatility.
The number of use cases for cryptocurrency is growing at an unprecedented rate, according to Tony Lees, chief product officer at cryptocurrency platform Wirex, which has 4.5 million users around the globe. As the world becomes cashless, cryptocurrencies will play a significant role, Lees said. They permit fast, easy payments, much like cash but with the added convenience and portability of electronic payments.
“There are huge benefits to crypto payments, namely lower fees, faster payments as well as making cross-border payments much easier and cheaper, making them a hugely important alternative to traditional finance,” he said.
The key to wider consumer adoption will be overcoming misconceptions and educating the general public about cryptocurrency use, Lees explained. Crypto debit cards that make the exchange at the point of sale (POS) help consumers feel more comfortable by simplifying the process. That technology can also take the burden off of merchants who are already dealing with the growing number of payment options their customers expect. Rather than adding another payment option, they can accept cryptocurrency but receive the local currency.
“A common misconception around cryptocurrency is that it is overly complicated,” Lees said. “But that…
