Well over one year into the global Covid-19 pandemic, markets and currencies worldwide are out of control, with no signs of the spin abating. However, like most things, there are exceptions to the rules and in the case of currency, the exception is crypto.
As little as five years ago, an individual could have purchased a single Bitcoin for a little over $750. As of today, the same Bitcoin will cost in the region of $39,500, an increase of more than 50 times over the last five years.
In February 2020, the market value of Bitcoin dropped considerably, something that leads skeptics to question the crypto’s long-term validity and whether crypto is the safe haven they are purported to be.
The Crypto Revolution
To the surprise of many, the market has made a significant recovery. This recovery makes Bitcoin stand apart from traditional currencies that are feeling the effects of the pandemic.
Many believe the long-term prognosis for crypto is positive. Yes, there are those who question whether the crypto industry will even be around 10 years from now. Those familiar with the market, however, believe it is more a question of the adoption of crypto in other industries.
Luke Willmont, Operations Director of AutoCoinCars in the United Kingdom, sees the ability of crypto technology to be used in every conceivable market as game-changing. As of now, there is little, if any, adoption of crypto within retail, aviation, eCommerce, hospitality, and more. This lack of adoption presents new opportunities to tap into previously unattainable markets.
Crypto is becoming more prominent by the day thanks to the likes of Elon Musk and his decision to take Bitcoin as payment for his Tesla automobile.
It is not just Tesla. Some of the largest vehicle distributorships in the United Kingdom have adopted crypto as a means of payment.
There has been a significant increase in the rate of cryptocurrency adoption, a trend that is being mirrored in many businesses.
A Cashless Society is the Future
A combination of the Covis-19 crisis and an ever-growing awareness of Bitcoin has propelled the crypto from a niche, thought to be unstable, to a mainstream method of payment. With this being the case, it begs the question, “With social distancing measures firmly in place, and many retailers avoiding notes and coins, could it be that the world is witnessing a move towards a cashless society, where crypto is taking the lead?”
A transition to a cashless society was well along in various industries, but the pandemic has provided the added impetus to see a complete infiltration of society. Crypto is not new, it was a part of life long before the currency crisis. However, the pandemic has given digital currency a platform. Digital currency has been thrust into the limelight, and it is being recognized as a contactless payment system for everything from cars to jewelry.
It is expected that in the coming months and years, cryptocurrency will become as popular as the contactless forms of payment currently enjoyed. It may not be long when something as basic as groceries can be bought using crypto on a smartphone.
Crypto has seen a 30 percent growth as consumers look for reliable, and yet stable routes to make purchases. The pandemic has presented a golden opportunity for crypto to gain greater momentum.
Adoption in the U.K. Automotive Market
The last couple of years has been a transformative time for crypto, it has grown dramatically and is predicted to maintain its growth momentum. Most nations have closed their borders and are facing economic issues caused by the Covid-19 crisis.
Covid-19 has been very detrimental to the performance of the automotive industry. However, as bad as it is, it is not something that is reflected across all markets. Despite the challenges, sales within the crypto automotive trading business are up.
Automobile dealers believe the reason they are seeing more cars purchased with crypto is the control it gives consumers over their finances. The current global pandemic has shown that cryptocurrency is a stable asset for many and can ensure that personal finances are devoid of bank involvement.
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