Home Coins Blockchain Bitcoin Ethereum How to Mining NFT Press releases Regulation Most Featured
Coins by Cryptorank

How Can Cryptocurrencies Revolutionize Businesses?

Author Avatar
By CryptoNews - - 5 Mins Read

Winter Has Come. But You Need Not Die From the Cold.

Of late, the sentiment for cryptocurrencies has grown cold, ending in what market participants and analysts call the "crypto winter".

The downturn is seen as something entirely different from any bear phase experienced by any asset class, with CNBC reporting that it had lost over 2 trillion since its rally in 2021. Bitcoin, the granddaddy of all crypto, had plummeted by 70% from its all-time high in November 2021 which amounted to almost $69,000.

But all may not be lost. Experts advise that it would serve investors well if they are to stay away from Spot Trading and look into crypto products like crypto fixed deposits and Crypto Systematic Investment Plans (SIPs).

It would also be wise for investors to subscribe to the more risk-averse methods and avoid discounted sell-offs altogether. This is due to short-term market rebounds that may signal further market decline.

Through these workarounds, investors may be able to counter the effects of the crypto setback to the point that they may be able to make crypto trading lucrative again.

Investing in Crypto is Still Viable Business Move

An article published by Time stipulates that several experts agree that there is a potential for Bitcoin to reach $100,000 before 2022 ends. The speculation is based on the current behavior of the coin which saw it surging to $24,000 in the last week of July. This is its highest since the market crashed back in June. 

If you own a business and wondering if investing in crypto would be a good idea, starting today will not hurt. The key is holding on to the Bitcoin until the winter has abated. It is the opinion of many investors that the price of Bitcoin will become $110,000 within the next five years. 

With this projection in the cards, looking into cryptocurrency adoption might prove a good business move. A survey from Bitstamp published by Euronews.com revealed that mainstream cryptocurrency adoption will most likely take place within the next 10 years.  

The popular cryptocurrency exchange sampled over 28,000 investors from 23 countries across Africa, Asia Pacific, Europe, Latin America, the Middle East, and North America. 

The survey showed a positive outlook from 88% of institutional respondents and 75% of retail investors that were surveyed. Furthermore, Bitstamp found that 80% of institutional investors believe that the digital asset will eventually overtake the more mainstream investment vehicles.

On top of that, the trust levels for cryptocurrency as an investment tool remain high among the more developed countries. It was stipulated that 71% of investment professionals and 65% of everyday investors still trust crypto.

Cryptocurrency Can Revolutionize Businesses 

Given the premise of the discussions in the previous segments, it can be surmised that the cryptocurrency sector is not dampened by its potential to revolutionize businesses. Here, let's take a look at how the asset could go about doing so.

1. Cryptocurrency as a Universal Payment Option

It would be recommendable for businesses to ask for payment using crypto if they aim at streamlining payment processes and reducing overall transaction costs.

Should cryptocurrency see mainstream acceptance as a payment option,  transactions and cash flow will see exponential speed and fewer incidences of fraud through blockchain technology. As a result, transactions can all be verified and accepted in real-time.

2. Cryptocurrencies Can Lower Cost Payments for Transfers

Businesses that have integrated cryptocurrencies into their services are given the option to deal with their customers without an intermediary. This allows for lower transaction costs. 

Cost differences are significant to small businesses. This gives their proprietors the chance to effectively adjust the product prices that provide them with a competitive edge in the market they are in.

On top of this, international businesses are allowed to ease the costs of cross-border transactions. 

Cryptocurrencies can render trading conditions with international entities without having to let go of a large portion of their profit. If an item is priced in crypto, remember that all coins are priced the same across the globe. 

3. Cryptocurrencies Can Protect Client Privacy 

As the online world is replete with threats of cybercrime, protecting your financial data should become the top priority. This is of great significance to businesses who handle such alongside potentially sensitive client information. 

Using cryptocurrencies can provide anonymity as the buyer is given the prerogative to what personal data he or she would be comfortable sharing. Offering cryptocurrency as a payment option makes your business attractive to prospective clients who take their data privacy seriously.

4. Cryptocurrencies Diminishes the Chance of Chargeback Fraud

Chargebacks have proven to be a nuisance for businesses regardless if they are brick-and-mortar establishments or online ones. It happens when supposed paying customers purchase a product and opt to cancel the payment afterward—more often than not when they had already used the product. Chargebacks are costly for businesses and may lead to greater losses in the long run. 

However, chargebacks only happen with fiat-paid transactions. Payments that have been recorded on blockchains are indelible and therefore irreversible. This leaves the customer with no other option but to directly communicate with the business should they want a refund.

Widescale Cryptocurrency Adoption Is Something To Look Forward To

While the cryptocurrency sector is in a dire situation, its function through various use cases proves its viability as an asset class. For those who might be apprehensive about investing in crypto, we recommend that you further your research rather than relying on hearsay.

Cryptocurrencies, once they can recover from the temporary slump, bear the potential of being a comprehensive financial asset that would get businesses and customers alike their money's worth.