Severally, we’ve discussed how several technical factors like high gas fees and slow transactions is hampering crypto adoption. However, the landscape is changing as these are fast becoming past issues. This begs the question, are these the only challenges stopping more people from using cryptocurrencies for payments?
This article will talke a diffferent approach when examining the hesitation of the populace to use blockchain tokens for everyday purposes. Perheps, this will give a different insight of their role in supporting crypto adoption.
How Lack of Usage Causes Slow crypto Adoption
What if I told you that you are the reason why you are not using cryptocurrency? Well, technically, the term does not refer to any one in particular. Instead, it implies that everyone is guilty of stalling crypto adoption.
For a better understanding, let’s examine every stakeholder within the cryptocurrency sector. This include the following:
- The average user
- Business corporations
- Regulatory organizations
The Average User
The first option being the average user, as they are the primary focus of all Web3 companies. Most persons see cryptocurrencies more like investments than medium of exchange.
They only see it as a store of value alone, not recognizing the “monetary nature” of cryptocurrencies. As a result, most people simply buy and store every blockchain token with the hope that its price will increase in the future. This mentality is so bad that these individuals will not sell their holdings no matter how
Considering their approach to crypto investment, it’s unsurprising to see why the regular crypto holder continually decides against spending their digital assets. Till date, many people still mock Laszlo Hanyecz for spending 10,000 Bitcoins on 2 Papa John’s pizzas.
Business Corporation
It is easy to blame corporations for not wanting to accept Bitcoin as a payment option. Nonetheless, people must understand these companies are trying to run a business, not doing charity. As a result, they will only accept cryptocurrency in exchange for their products and services when it is economically advantageous to do so.
So far, the motivation to accept cryptocurrency as payment from customers is very low. The major reason for this challenge is that businesses that accept Bitcoin for payment are typically isolated. This is very challenging and erodes the advantages of accepting blockchain tokens in exchange for products and services.
For example, a clothing brand accepts cryptocurrencies as payment for its products. However, its raw materials supplier does not recognize Bitcoin as a legal tender. This means the brand must convert these tokens they have accepted into fiat (incurring multiple fees and commission) before getting stocks from their vendor. In truth, this removes the advantage of using crypto for transactions.
Regulatory Organizations
Arguably the biggest defaulters in the group, governmental bodies have done little to help the course. Worse still, they are unwilling to improve their attitude or approach to digital assets.
Without any doubt, most regulatory organizations are softening their stance on the blockchain industry in recent times. The most shocking being the Russian parliament passing a crypto-friendly bill. While this is a welcome development, it highlights the problems of regulatory bodies and their attitude to cryptocurrencies.
According to the proposed new regulation, blockchain tokens will serve as a payment medium for external transactions. On the other hand, Russians cannot spend cryptocurrencies for local transactions. The government is telling people living in Russia to do their thing, but not within the country.
This case properly outlines everything wrong with regulators and their attitude to crypto. In fact, they are significantly responsible for the slow crypto adoption. This is because hey want to benefit from this technology without properly understanding it.
As a result, they end up making laws that will extract the value of digital assets in ways that mostly favor the government. These agencies just repaint any existing financial or technological law and use them as blanket legal frameworks for blockchain applications.
Slow Crypto Adoption: The Role People Must Play To Spread The Cryptocurrency Payment Gospel
While slow crypto adoption is a product of multifaceted factors, its solution is simple if everyone is willing to put in the work. The first step involves the average person, as they should be the main beneficiaries of the cryptocurrency revolution. People need to change their perception of blockchain tokens and start seeing them for what they are – secure monies.
Instead of complaining that crypto adoption is slow, send and spend part of your portfolio when and where possible. Instead of waiting for the government or large corporations to approve crypto usage, buy products and pay for services of businesses that already do. Your actions will encourage more ventures to accept Bitcoi, Ethereum, USDT, etc. as a legal tender.
On their part, manufacturers and suppliers need to begin accepting cryptocurrencies in exchange for their products. These large corporations are crucial in the supply chain and can spark a revolution that will trickle down to small businesses. Speaking of micro enterprises, they should consider producers and distributors that accept crypto as payment.
This will reduce the pressure of selling blockchain tokens in order to fund business transactions. Business owners should also adopt gradual compensation processes that will see their employees earn some of their wages or benefits in crypto. Stablecoins are excellent options to begin with, as individuals are not subject to volatility.
Finally, the government and other regulatory agencies just need to “understand” blockchain technology in general. It is amazing how leaders who call themselves “democratic” do not want to accept a truly democratic technology. Critics believe that national leaders do not like decentralized technology because it reduces the level of control and demands transparency.
How Tectum is Tackling Slow Crypto Adoption
Tectum is not waiting for anyone to accept cryptocurrencies as a payment option. Instead, we are constantly working round the clock to change slow crypto adoption in every possible way. As you all know, Tectum SoftNote is a crypto cash and fintech solution that scales Bitcoin, making it suitable for retail transactions.
However, we have upped the ante and taken our product beyond development. The team is constantly collaborating with various businesses to become SoftNote merchants and accept crypto in exchange for their products and services. Our partners range from restaurants and food marts to travel agencies and top fashion brands.
Furthermore, we are currently developing a roadmap to train interested individuals who will become Independent Sales Organizations. These persons will earn commissions for every merchant they onboard, to encourage them in keeping up the good work.
Tectum is working with another tech company to create a CRM system that will streamline the ISOs management and ensure that they get their rewards in full. The team will share more details as time progresses.
Meanwhile, anyone who wants to accept cryptocurrency as payment apply to become a SoftNote merchant. SoftNote enables instant transaction for fees no more than $1. This amount will encourage more customers to buy from you and significantly boost your sale. EVen better, you do not have to pay more than 1% of the payments you receive as commission
What are you waiting for? Become a SoftNote merchant and end slow crypto adoption today.