Why aren't cryptocurrencies successful as a medium of payment - page 24.

CodyAlfaridzi

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Quote from: jatoman on June 13, 2018, 12:15:25 PM

The global economy is nearly 80 trillion USD per year. Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

The lack of merchant limit the number of transactions using cryptocurrency. I'll only talk about Bitcoin here because other crypto is just trash and irrelevant as a medium of payment when you have something as good as Bitcoin. The lack of merchant accepting Bitcoin is due to government rules. That is something beyond our capabilities to change. Though it's not impossible that things may change in the future, when the govt is full of younger generation, but that's not happening anytime soon.

On any merchant that accept Bitcoin, I always use Bitcoin simply because it's superior than the rest of the available options. These merchant usually are digital ones though, like online game, mobile topup, gambling, etc. Paypal, Webmoney, etc are far behind Bitcoin in terms of fees, simplicity, and security.

Quote from: jatoman on June 14, 2018, 10:13:34 PM

So, would creating a cryptocurrency that is "regulator friendly" help make that happen?

What makes a cryptocurrency "regulator friendly"?

Cryptoguru274

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Quote from: jatoman on June 13, 2018, 12:15:25 PM

The global economy is nearly 80 trillion USD per year. Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

I think some of the reasons preventing cryptocurrency from being more successful as a medium of payment is the so many regulations coming from government. Many governments have failed to recognized cryptocurrency as a legal tender in their countries and this is hindering the progress of cryptocurrency globally.

jatoman

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Quote from: knuckey on June 13, 2018, 12:36:41 PM

the first thing that becomes a problem is the public understanding of crypto is very little and there are still many misunderstandings about crypto. the government is also not fully supportive and the banking or other financial companies are also very opposed to crypto and they think that crypto could harm and take over their business.

Yes, there is a lot of work needed to help the public understand what cryptocurrencies are, how they work, and why they should be trusted.

I agree that governments need to support it. So, far, cryptocurrencies have been hostile toward regulators, which explains why some governments are against their use.

Financial institutions may never support them because they see cryptocurrencies as competition to traditional banking services. On the hand, some banks see the opportunity to use cryptocurrencies as an alternative to automated clearing house technology as a way to move money, especially across national borders.

Retro6

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Quote from: makladun on June 13, 2018, 12:25:58 PM

The reason is that they have appeared recently and the market has not developed the payment infrastructure yet, while it could be in the following years.

There is some great work being produced by cryptocurrencies like Electroneum that are tackling this very issue. According to John McAfee the crypto world will only succeed if we begin using it for everyday transactions. Thats what makes me really excited about Electroneum and their new instant payment system. We need a simple, user friendly application environment so it encourages the layman to adopt it.
If we all just buy and HODL, hoping the coin will go to the moon, we are not taking advantage of this amazing new world. Taking the power away from the banks is the greatest thing given to mankind from Satoshi.

Check out the new BETA coming out soon...

https://www.youtube.com/watch?v=FOtJVfZ29Es

BTCwin1

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So I think it's a policy issue for all countries, so when cryptocurrency becomes a means of payment, it may affect the financial system of all countries, so I think the biggest problem is policy.

jatoman

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Quote from: bartolo on June 14, 2018, 10:37:49 AM

Quote from: jatoman on June 13, 2018, 07:48:06 PM

Would you say getting governments and their regulators such as tax authorities and custom agencies to support crypto payments is a requirement before there will be widespread use?

Without a doubt, uncertainty about regulations is one of the reasons why many businesses do not dare to accept cryptocurrencies as a means of payment. When everything is clear and the rules are established, it's possible that the process will accelerate as happened in Japan.

So, would creating a cryptocurrency that is "regulator friendly" help make that happen?

MoonJeina

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Crypto currencies aren't successful as medium of payment fora big reason and that is the influence of government in that country .
There is so much opposition faced by the crypto currencies , especially bitcoin by the government and the banks collectively that it cannot be
implemented as a main medium of flow of money .

chocolaty

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Quote from: jatoman on June 13, 2018, 12:15:25 PM

The global economy is nearly 80 trillion USD per year. Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

Because not at all times cryprocurrency is the best medium for payment. I would not personally choose to buy stuffs online with cryptos unless its for investment purposes. Cryptos are volatile and that is no doubt. Fiat money will always play a huge role in global economy and will not be eradicated, atleast for this era. It is still too early to fully turn our heads to cryptos.

bartolo

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Quote from: jatoman on June 13, 2018, 07:48:06 PM

Would you say getting governments and their regulators such as tax authorities and custom agencies to support crypto payments is a requirement before there will be widespread use?

Without a doubt, uncertainty about regulations is one of the reasons why many businesses do not dare to accept cryptocurrencies as a means of payment. When everything is clear and the rules are established, it's possible that the process will accelerate as happened in Japan.

ityandsyn

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Quote from: jatoman on June 13, 2018, 12:15:25 PM

The global economy is nearly 80 trillion USD per year. Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

In some country from europe is already developing this system and it takes more time because it needs a bank that will caters the transaction and the payments using electronic cards or even mobile phone and also it needs the different malls and department stores that are willing to accept cryptocurrency as payments .

Serco

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It may be possible that the tax system that makes the payment of crypto money, not only that but the lack of some companies that receive payments through crypto money. There are many considerations that may be difficult for the entry of crypto money, but if the crypto money is efficient then it may be possible to enter the community as a tool of the legitimate currency transaction for our lives.

maitexisi

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Cryptocurrency has been used as a medium of payment in some countries. But it's still rare.

I think the most important reason is that the government, the government will not promote encrypted currency, but will bring more regulation.

kier010

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they are not backed by the government and because of its volatility it is not an ideal to use in payment. for now crypto is good for asset.

tsaroz

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You might not see cryptocurrencies being used on day to day basis on the train or movies as a medium of payment but they are increasing in amount and transactions for international medium of payment. The international transactions are costly, and larger transactions are subject to paperworks which cryptocurrencies have successfully solved.

poornamelessme

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Multiple problems right now with using any crypto for payment.

First, requires an easy way to purchase crypto. Then a better understanding
by the public of what crypto even is. And it'd require instant transactions plus
stability. Plus of course it must be scale.

Kind of the opposite of the situation now. Maybe one day a stablecoin could take
that role, but right now using crypto for purchases is like using the worst credit
card in the world... or if paypal was schizophrenic.

rommelzkie

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Quote from: jatoman on June 13, 2018, 12:15:25 PM

The global economy is nearly 80 trillion USD per year. Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

The real reason is the government. Our government doesn't like the idea of decentralization. Why? because they want to control everything. If the currency is decentralized the community will have a great power over the government. This is the fact

Rkoshay

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I would add that there isn't an easy way to change crypto into fiat. When the time comes that I can send crypto to someone on the other side of the world, or across town, and they can receive that and easily change that to fiat, or vice versa crypto will boom.

Yakamoto

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Quote from: jatoman on June 13, 2018, 12:15:25 PM

The global economy is nearly 80 trillion USD per year. Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

Mostly it comes down to some of the same reasons as to why bitcoin is so popular compared to a majority of the coins that exist today. The other method came first, more people use it, and thus there is a general consensus to use the currently existing system rather than something else. Plus cryptos aren't exactly the most intuitive payment system compared to what everyone else can do, but that's just part of the territory.

TheBiochemist

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I would say that many is still not familiar with the technology which will take a natural course and be more adopted over 10 years or such a scale, when it comes to the public. For companies to use cryptos for transfer they must be faster and scalable, which is now rapidly addressed by cryptos like ZIL,Credits,QuarkChain and the lightning network for BTC LTC to mentions some projects.

EOS have some nice perks to and are more scalable compared to ETH, so I think we will have corporate adoption sooner, 2-3 years and it will be a standard alternative for new companies. When new companies make money old and existent companies must follow to stay ahead and the public will slowly join.

Add regulations and FUD to the pot of slowing elements : )

beleyeleazar

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Quote from: jatoman on June 13, 2018, 12:15:25 PM

The global economy is nearly 80 trillion USD per year. Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

The government. That's the major workforce at play right now and it is the main reason why cryptocurrency has not been used as an official medium of payment, full-pledge. The second force at play are the banks.

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