When e-commerce began, credit and debit cards were the two main ways to make a purchase. Soon came new payment gateways, such as PayPal and ApplePay. Now, there is yet an entirely new form of payment that companies around the world are beginning to accept – cryptocurrency.
It only makes sense that the e-commerce industry would accept this digital currency. According to eMarketer, global retail e-commerce sales are projected to soar to almost $5 trillion in 2021. Global B2B e-commerce sales are projected to hit $12 trillion by 2020. However, this may also increase the likelihood of online transactions being hacked. Since cryptocurrency is starting to be globally accepted, online companies are also adopting blockchain, which is the underlying technology of cryptocurrency.
Blockchain technology ensures cryptocurrency transactions are secure and quick. Each transaction is verified and encrypted, making it hack-proof. Blockchain also uses a decentralized server, so there is no middleman or fees as with traditional banks. This is very appealing to consumers, which is evident in the growing crypto market. It is projected to reach $1.40 billion by 2024. Many companies, including Ducatus Property, Microsoft, and Overstock, now accept cryptocurrency. Consumers also like the fact that cryptocurrency is automated by smart contracts which prevent double-spending and fraud.
Consumers will have more control with their purchases since there is a direct connection between buyer and seller. This promotes transparency, so companies will be held accountable. However, businesses will also benefit from accepting cryptocurrency. As early adopters to cryptocurrency, companies can expand into the tech-savvy market to gain more customers. They will also enjoy lower processing fees, faster transactions, and no chargebacks, which will help to manage cash flow better. It will also create a better customer experience in that customers will have peace of mind knowing their transactions are secured. Business owners can also offer exclusive deals when customers use cryptocurrency. For example, customers receive a discount when they use Ducatus coin to book a trip through Ducatus Travel.
Cryptocurrency use in e-commerce is beneficial for both consumers and business owners by saving them time and money. The fact that the list of businesses accepting cryptocurrency is growing shows how valuable it is. Just like credit cards, there will come a day when we cannot imagine not using cryptocurrency for online purchases.