How digital currencies are solving real-world payment challenges
A recent study by Future Market Insights revealed that the global crypto payment gateways market could reach $1.684 billion by the end of 2025. Looking ahead, the market may continue to grow at a CAGR of approximately 13.6% to reach $6.030 billion by 2035. For some individuals, this projection may be surprising, particularly because people were highly critical of digital currencies during their early days in the 2010s.
But crypto’s use is not just limited to investment; you can also use it to transfer funds and make payments. Its underlying technology, blockchain, also offers relevant benefits like better security. This is why the days when users would stay glued to their screens only to monitor the Bitcoin price chart and other crypto trends are long gone.
Across the globe, more individuals, businesses and even governments are starting to see crypto as a solution to real-world issues like financial inclusion. And since people are tired of slow and expensive traditional payment methods, they have been turning to digital currencies as their new hope, begging the question of whether crypto could be the new future.
Crypto amid the growing need for security
It’s no shock that almost everyone is paying attention to online security. Just recently, Exploding Topics reported that more than 600 million attacks happen every day. As if that’s not enough, about 54 people per second will likely encounter a cyberattack. With threat actors reinventing themselves, no one would want to interact in an environment that could compromise their security. This gets even more serious when money is involved.
That’s why businesses with secure payment methods are more competitive than those without. Implementing these methods ensures users can transact with peace of mind on your platform, which may lead to higher loyalty rates. Actions that minimize the risk of data breaches also help avoid losing customers. According to Centripetal, almost nine in ten (87%) customers may turn to competitors after security incidents.
To address this growing need for security, many businesses are turning to crypto payments. You may be surprised to learn that, according to BVNK, nearly 30,000 merchants globally accept Bitcoin payments. Digital currencies are more secure because of their decentralized infrastructure, eliminating the risk of single-point failures. They are also immutable, meaning data can’t be altered once stored. This improves transparency and can help solve disputes quickly when they arise.
A great strategy for reaching many people
Studies have shown that the number of crypto owners has reached one billion. This is almost 13% of the global population, providing a significant opportunity for businesses seeking new audiences. Remember, one way of improving your appeal is by aligning with changing customer preferences and behaviours.
SuperOffice CRM suggests that companies that take this route of becoming more customer-focused always see up to 60% more profits than those that don’t. Of course, it’s obvious knowledge that many of these crypto owners will want to use it for payment. Looking at the statistics, about 20% of cryptocurrency owners intend to use it for payments by 2026.
No serious business person would want to downplay such a statistic. 20% of one billion is about 200 million – a considerable population to target if you’re seeking new audiences. On top of that, digital currencies can be a good strategy for reaching financially excluded communities.
A significant portion of the world’s population still remains unbanked, and if you want to appeal to them, crypto can be the way to go. According to FinDev Gateway, about 24% of the world remains unbanked, yet many now use mobile money or crypto solutions to bridge that gap. With just a smartphone and internet access, individuals can set up a crypto wallet and start transacting within minutes. Stablecoins, in particular, offer a low-volatility option for saving and transacting in regions where local currencies are unstable.
Surviving in the age of instant payments
There’s no denying that instant payments have become a competitive advantage in today’s business world. Businesses that don’t implement them may only be setting themselves up for failure. Interestingly, Testlio reported that about seven in ten customers expect payment processes to take no more than two seconds. The institution further added that payment delays can reduce conversion rates by as much as 20%.
As if that’s not enough, PYMNTs.com released another report showing that about 78% of consumers consider speed in payments critical to their overall experience. This could be the reason Fortune Business Insights thinks the global real-time payment market size could expand by a CAGR of over 35% within the next few years.
As a forward-thinking brand, you want to utilize these statistics by incorporating fast payment options like crypto. Digital currencies eliminate intermediaries in the transaction process, ensuring it is cheap and quick. With networks like Solana, you may end up achieving confirmation times of as low as 0.4 seconds. That’s way faster than many mobile payment apps!
Since many customers expect such experiences, more businesses may turn to digital currencies to cater to these needs. Through decentralization and immutability, these currencies ensure customers can transact more securely and quickly.
Digital currencies have also been receiving a massive welcome across different divides. Businesses targeting global audiences may want to integrate crypto to maintain their relevance among this population, further explaining why digital currencies could just be the new future.
