Asian Retailers Prefer Crypto Payments Over Cash?

Mon August 29, 2022 ▪ 7:00 am ▪

4
min read – by
Cedrick Aimé GUELANG OFALABEN

Asian retailers continue to use blockchain and crypto payments en masse. The numbers are staggering, Asia is the continent with the highest number of investments in the crypto industry. It alone has NFT revenue of $22 billion in 2022, or 35% of global revenue. In addition, 2023 could be the record year for Asians, with transactions exceeding $16 billion. Interesting data, as it could encourage stores to comply with cryptocurrency payments. Especially since Asian consumers are especially fond of fast, secure and reliable transactions. This is exactly what blockchains can offer, it remains only for stores to follow suit.

Mass adoption of crypto payments by Asian retailers

Covid-19: the trigger for Asian retailers?

The Romance Between Asian Retailers and Crypto Payments intensified during Covid-19. Multiple lockdowns have forced stores to adopt virtual invoices with QR code and biometrics. This payment method has the advantage of yielding low commissions. The transparency of crypto payments is a big relief for Asian retailers. In fact, 25% of them are cross-border customers. They therefore find it no problem to shop wherever they are.

Department stores are multiplying strategies to bring customers closer to crypto payments. Some go even further by offering discounts for customers who buy virtual money. With the shortening of the waiting time and the risk of fraud, cryptos continue to convince. Exactly the opposite of classic virtual payments, as credit card fraud has increased during the pandemic. The absence of third parties in transactions and the encryption of data increases the credibility of crypto payments.

Adopting cryptocurrencies to better meet future restrictions

Cryptocurrencies are the currency of the future, Asian retailers have understood this. They are certainly volatile, but it must be recognized that they are capable of creating capital gains. But first, the ground must be favorable and the market conditions favourable. Indeed, for many stores, cryptocurrencies are not just an exchange currency, they also represent an investment opportunity. But not everything has been liberalized yet. That’s why lawmakers keep multiplying standards to regulate transactions and fill legal gaps.

Aside from China continuing to ban cryptocurrencies, South Korea also has many requirements for cryptocurrency exchanges. We better understand why several companies struggled to meet the requirements last year. Yet one in three Korean national employees invests in cryptos. This figure is greater than the 11% of Americans interested in crypto investments.

Conclusion

In short, the democratization of cryptocurrencies intensifies in Asia with many blockchain projects. Traditional institutions are meeting more and more resistance and the number of crypto holders continues to grow every day, as do brands accepting crypto payments. Given this state of affairs, Asian stores are forced to take the risk of not responding to the current market trend. The Asian retail movement faces many hurdles, but as it goes, nothing will stop Asian retailers from buying the tokens.

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Cédrick Aimé GUELANG OFALABEN avatar
Cedrick Aimé GUELANG OFALABEN

PhD student of financial law and experienced SEO web editor, Cédrick Aimé is passionate about cryptocurrencies, trading, etc. Naturally, thanks to his articles, he joins the daily blockchain revolution for a better democratization of DeFi.

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