Satoshi nakamoto, bitcoin's creator (), originally conceived crypto as a form of payment between two people. This is one of the main reasons why blockchain, the technology behind the crypto ecosystem, has found its best use cases in the payments industry.
Blockchain-based payment solutions, widely known as crypto payments, provide a veritable financial network worldwide. Cryptocurrencies are separated from geographic restrictions, allowing for fluid transactions between different parts of the world. The robust technology and potentially small fees introduced with cryptocurrency make this type of payment an ideal fit for heavy digital transaction sectors such as online purchases or e-commerce.
Although blockchain payments bring significant benefits to the e-commerce industry, online merchants have adopted a wait-and-see approach to accepting cryptography. The main concerns are the sophisticated nature of these digital assets and the risks associated with the adoption of a new form of currency. The integration of crypto payments has also been a confusing subject for the eCommerce industry, as it generally requires a high level of technological expertise.
However, the impending global recession forecast by financial experts and government officials is forcing every industry to be more aggressive in its search for new sources of revenue to stay afloat in 2023.
The economic storm demands new prospects.
Despite the meteoric rise of e-commerce platforms like Shopify, which enjoyed more than $3.2 billion in total revenues in 2021, the economic uncertainty of 2023 urges e-commerce merchants to find new ways to entice customers. Market researcher Statista expects an annual decline in e-commerce revenue in its latest Digital Market Outlook report, with industry experts comparing current figures with pre-COVID-19 numbers. The projected global recession in 2023 offers an ideal opportunity for online merchants to try new strategies to attract new waves of customers.
A 2022 report estimates that more than 10% of global internet users aged between 16 and 64 — a demographic that perfectly fits the target audience of the e-commerce industry — own some form of cryptocurrency. Another report counts more than 320 million crypto users worldwide, positioning crypto users as an attractive audience for any industry that wants to see organic growth.
Fruits at your fingertips when it comes to e-commerce.
As crypto users are actively searching for new ways to use their digital assets in their daily lives, allowing crypto payments for this shopping-ready audience seems to be easy to pick up. After all, crypto payments allow for much faster settlements and reduce costs per transaction, which is a superior technical and financial alternative to traditional payment methods.
The borderless nature of cryptography and its underlying technology has made transparent cross-border payments a viable option for online shopping platforms. With more than 2 billion people without access to the banking system, crypto payments are an essential gateway to e-commerce for people in multiple markets.
However, despite the advantages of accepting crypto payments, the technical aspect is still a disincentive for online traders. With a wide variety of cryptocurrencies, blockchain infrastructures, and an extensive range of crypto portfolios on the table, integration of crypto payments in an online store for the first time constitutes a technical obstacle for many store owners.
As technology evolves and the adoption of cryptography continues to grow, however, the addition of crypto payments to online stores will move from multiple layers, integrations through tests and failures with simple plugins specifically developed for e-commerce platforms.
One such solution is developed by crypto payment processor 8Pay for the major e-commerce platform Shopify. Easily configurable from the shopify plugin dashboard, 8country's design without authorization is powered by smart contracts, offering a new range of features for crypto assets. Correspondingly, users can take advantage unique, fixed recurring, variable recurring, and pay-as-you-go in one click, tracking balances, and payment management through the web 8pay or mobile apps.
Making payments through 8pay is similar to traditional portals such as paypal, although executed on a decentralised network. When you click a built-in button, visit a brief url, You can scan a QR code, they are routed to an 8pay cashier, link their portfolio of metamasks, review the trade and sign the deal. Anything else is automatically managed.
Unexploited potential for e-commerce merchants.
The integration of crypto payments into online purchases is not just generating new sources of revenue for online merchants, It also creates a new way for crypto owners to spend their assets for their day-to-day needs. As with all other methods of using cryptocurrencies in the more traditional aspects of life, the establishment of a presence in electronic commerce also contributes to the broader adoption of crypto.
Comes with easy-to-use onboarding solutions, Cryptographic payments would help the e-commerce industry cope with the uncertainty of the coming global recession with an entirely new target audience, safe infrastructure with reduced transaction costs.
As crypto payments become more accessible with new tools and solutions for merchants and holders of cryptocurrencies, the electronic commerce industry will probably find an untapped market in the crypto ecosystem.