Shoppers are now utilizing crypto to pay for items ranging from Starbucks to luxury vehicles, and retail stores are starting to take notice.
As per a June Deloitte report about retailers getting prepared for virtual currencies, now almost 75% of retail chains intend to accept crypto or stablecoin financing within the coming two years.
Deloitte surveyed 2,000 high-ranking retail execs from a variety of industries, such as the cosmetic industry, technology, apparel, logistics, food, and beverage industries.
Even as virtual currencies such as Bitcoin are generally only as lucrative as their consumers perceive them to be, a stablecoin is a form of a crypto asset whose value is derived from an underlying security. Stablecoins are frequently linked to currencies such as the US dollar or commodities such as precious metals.
Although virtual currency transactions are still relatively new, based on the survey, 83 percent of retail outlets anticipate customer interest in virtual financial assets to rise in the coming year. Furthermore, slightly more than half have invested more than $1 million in facilitating digital payments.
Therefore, this means that you may soon be able to pay for clothing items, beverages, skincare products, and other items using cryptocurrency.
How Exactly Do Retail Companies Plan on Accepting These Crypto Payments?
Although retail companies intend to adopt crypto tokens as payment, this does not imply that they intend to keep the virtual assets.
A little more than half of those polled intend to acquire third-party payment gateways to transform cryptocurrency into fiat, which includes funds defined as legal currency by an administration, such as the US dollar, British pound, and Euro. This implies that the retail companies do not intend to control the crypto utilized for compensation.
Given the volatility of the cryptocurrency industry, this approach is thought to be far less dangerous for retail chains than retaining the cryptocurrency independently. According to Deloitte, this strategy also makes it quicker and simpler for retailers to accept virtual currencies.
Complications For Retailers to Overcome Relating to This Implementation
Crypto-curious merchants acknowledge that there are a slew of hurdles to overcome before accepting digital currency payouts. The sophistication of trying to make their current financial facilities functional with diverse virtual currencies was referenced as the biggest obstacle by nearly 90% of respondents.
The survey also revealed that the reliability of payment systems was at the top of the list of obstacles to adoption, accompanied by fears about the shifting regulatory environment and the volatility of the virtual currency industry.
More than 50 percent of retail chains concurred that some crypto restrictions, such as national guidelines on retaining virtual currencies, clarification on the tax consequences of using virtual currencies, and the capability to store virtual currencies in a checking account, should be implemented.
Retail Chains Remain Positive About the Possibility of Implementing Crypto Payments
Despite their reservations, retail companies remain hopeful about the advantages of accepting cryptocurrency payments. Almost half of the retail chains believe that this transition might very well enhance the user experience and expand their customer base.
We predict that additional collaborations with governed and recognized industry organizations could very well help deliver the advantages of virtual financial assets (such as practicality and assistance) and might continue to establish the required base of trust, according to the survey’s conclusion.
While the possibility of paying with virtual currencies may be welcome news for some cryptocurrency users, it’s critical to remember that all these resources can be incredibly unpredictable and specialists typically advise only investing what you’re willing to lose.
The Bottom Line
This is an extremely exciting time in the commerce space. With retailers looking to accept digital forms of currency, a new era of business is being ushered in. The acceptance of crypto can also only be positive for these coins as they begin to have a much more relevant use. Currently, the main users of crypto are investors; however, this move would mean that everyday people would start to see the value in possessing crypto. This may cause the entire cryptocurrency industry to change as we know it. Either way, this is exciting, and it should be interesting to see how it plays out.
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