Crypto Payments: When the tech fades to the background. When you discover that you are still in the early phases of a new industry. You will be able to tell because conferences are entirely focused to hardware and software. Rather than the outcomes that are essential to the individuals attending.
Even as bitcoin maximalists proclaim that bitcoin will be the only form of money. In the world of tomorrow. It seems reasonable to wonder whether Satoshi Nakamoto’s promise. Of a peer-to-peer electronic cash system will be realized. In the wake of the recently concluded Bitcoin Miami conference. Which took place in Miami, Florida.
The promise of cryptocurrency payments looks to be elusive. 13 years after the publication of the pseudonymous Nakamoto’s Bitcoin white paper. Which marked the beginning of the blockchain revolution. However, it is not impossible to realize this goal. The attendance of another conference (ideally one that is more focused on mainstream payments.) This may be good in establishing whether bitcoin is still regarded “fringe finance.” Or if it is beginning to find its way into the mainstream.
The shift in interest among TradFi, hitherto dominated by crypto skeptics
Following years of being relegated to the periphery of the event’s main stage. The cryptocurrency discussion brought. To the forefront of the event’s main stage last year in Las Vegas. There was standing room only at many events. Including those involving well-known payment, banking. And traditional financial services organizations (or TradFi in crypto parlance).
Trading and investing interests have shifted from crypto curiosity to crypto commitment. A shift that occurred at a time when the industry controlled by crypto skeptics. This transition is perhaps the most significant development in the industry’s history. Although digital assets require the legitimacy of Wall Street. It is more likely that Wall Street requires the continuous power, trust. And business model transformation that open blockchain networks can deliver to its consumers.
Perhaps the most remarkable crypto about-face has been that of JPMorgan. Whose CEO Jamie Dimon famously threatened to fire any employee caught trading in cryptocurrencies. His firm now also advocates blockchain and decentralized finance. As a manner of conducting business (DeFi). There is now competition for their position as the only financial services company. With a well-known brand name among customers.
Antithesis or synthesis?
Is it possible that a tendency of convergence will make crypto payments. An alternative settlement layer for traditional participants. Thereby constructing a bridge to everyday use?
This tendency is particularly evident in the stablecoin market. Which uses asset-backed cryptocurrencies to guarantee price stability. Stablecoins, more than any other activity in the crypto economy. It have sparked a global legislative and regulatory assessment.
Stablecoins like USDC are breaking into a class of use cases that require underwriting. By also eliminating crypto’s original sin of buyer’s and spender’s remorse. Finally being able to “show me the money” has revolutionized the use of stablecoins. In real-world payments.
Despite myths and occasional FUD, one breakthrough transcends all other blockchain innovations — the stablecoin.
Crypto Payments: The years ahead
Is an omni-chain future resembling the traditional economy’s walled gardens? Or will one chain rule them all?
The internet of value is already here, but it may still be in its dial-up phase.
What will “mainstream adoption” look like? Does the promise of crypto payments. Simply get co-opted by latecomers? Or will mainstream adoption mean population-scale P2P payments. Where friction and lack of interoperability melt away along with national borders?
Blockchain will continue to affect the world even after the technology fades away. Similarly, crypto payments will have altered the world when low-cost global payment networks. Enable immediate value transmission between trusted parties.
No single corporation, no matter how big or technologically advanced. Or how much of a regulatory or operational moat they have. Due to proprietary technology or political favor, can achieve this status. Making every internet-connected gadget a compliant payment endpoint. It also may be one of the world’s top technological priorities.