Although one big crash in the crypto markets could take the sheen of the currently bright-looking future of cryptocurrencies, there’s little doubt it is here to stay. After all, crypto markets have fallen sharply before and bounced back. What’s more, there is increasing evidence that cryptocurrencies are being used in the real economy – just as they were always intended – and not merely as investments in their own right. As crypto transactions become increasingly mainstream, it seems that they are going to be a big part of the future of various economies around the world.
The Rise in Crypto Credit Cards for Regular Payments
Cryptocurrencies might not be as mainstream as other forms of digital transactions – such as paying for goods and services with a bank transfer arranged from a smartphone app, for example, but they’re getting there. With more and more simple-to-use crypto prepaidcards available from the likes of Payment Provider and exchange Mountain Wolf, it is easier for retailers to accept crypto payments. This works just as easily in brick and mortar establishments as it does for online purchases. In fact, from a retailer’s perspective, there’s no difference between accepting a pre-paid crypto card or a standard credit card. Once the transaction is complete, they’re paid in their local currency. With the increasing uptake of such cards, so the ongoing normalization of crypto payments will undoubtedly continue. Soon, consumers won’t think of anything when paying for groceries or big-ticket items using their crypto balances. Indeed, many of them don’t make any distinctions about the way they spend their money at all already, something that couldn’t really be claimed a few years ago when crypto payments were still quite rare.
Greater Institutional Backing or Crypto
In the past, people using cryptocurrencies to store wealth were often investors seeking an alternative to fiat currencies or those who had the technical ability to mine for digital coins. This is no longer the case with the likes of PayPal making using cryptocurrencies easier. BlackRock is another well-known financial institution that has famously embraced cryptocurrencies but these are not the only examples. JP Morgan Chase and Mastercard have both entered the crypto markets, too, and more big names will likely follow.
Younger People Are More Likely to Back Cryptocurrencies
Research undertaken by the Bank of America has shown that younger people are more likely to invest in crypto markets than older generations. Gen Z and millennials are digital natives in a way that older generations simply aren’t. As a result, they’re typically less concerned about the perceived novelty of cryptocurrencies. That’s why there is significantly more uptake in crypto ownership among younger people – even those who consider themselves to have a modestly cautious attitude to risk. As these generations age, so the uptake of cryptocurrencies is only going to become more and more accepted as the norm among digitally savvy consumers.
Conclusion
Whether cryptocurrencies will replace fiat currencies as the go-to option for consumers and retailers remains to be seen. What is highly likely, though, is that the mainstream adoption of crypto alongside fiat currencies is going to continue at pace for the next few years to come, at least.