The use of cryptocurrencies has been very low. Let’s look at the psychology behind the lack of adoption.
Tron Independence Day: What Will Justin Sun Unveil During Livestream Today
Monday June 24, 2019
Coinspeaker Tron Independence Day: What Will Justin Sun Unveil During Livestream TodayToday the Tron community is celebrating TRON Independence Day. To mark the project’s anniversary, Justin Sun, founder of TRON and CEO of BitTorrent, is inviting everyone to join his livestream on PeriscopeCo and YouTube. It’s high time to recollect what has already been achieved […]
The post Tron Independence Day: What Will Justin Sun Unveil During Livestream Today appeared first on 12bit trade.
Benefits of Using Cryptocurrencies
There is no denying the fact that blockchain technology is disruptive in the way it facilitates an instant and cheap transfer of money. However, the level of adoption remains abysmally low.
An article published earlier on Monday in psychologytoday.com explored the psychology behind what drives consumer behavior.
The primary use-case for which Bitcoin was invented was “Transfer of Value”. Using cryptocurrencies for payments can be beneficial for consumers and merchants alike. Some tangible benefits that could be derived include:
In Days Gone June will receive a free DLC
Wednesday April 24, 2019
Sony has announced that Days Gone in June will receive a small free update. It will consist of a new level of complexity and weekly testing. “Survival” will not be a quick move, gaze tracker, mini map and indicators. Along with this, every week there will be new Horde and the challenges, rewards for which
Lower transactional costs compared to other instruments like credit cards or cash. By accepting crypto-payments, merchants can save upwards of 2% and pass on some of these benefits to consumers.
Removes intermediaries and reduces the risks of frauds and identity thefts.
The transactions are secure and private. The only drawback here being that the anonymity can be misused for illegal activities like money laundering.
Using cryptocurrencies for payments would mean that one could travel anywhere around the world without the need to change one fiat currency for another.
Do Tom Brady, Gisele Bundchen Talk About Retirement? Patriots QB Opens Up
Saturday December 15, 2018
Tom Brady, obviously, is on the back end of his NFL career, but it appears his significant other isn’t pushing him into hanging up his cleats. A few days after Gisele Bundchen was asked by Ellen DeGeneres about Brady’s eventual retirement, the New England Patriots quarterback provided some clarity about his wife’s stance on the […]
The post Do Tom Brady, Gisele Bundchen Talk About Retirement? Patriots QB Opens Up appeared first on 12bet - Bet365.
Why Is the Adoption Low?
Despite the massive potential, adoption has been not only low but slow as well. The exponential rise in the price of Bitcoin towards the end of 2017 was mostly driven by speculation of retail investors and not real-world use.
The article reports that:
A 2016 study found that less than 1 % of Americans owned or used any cryptocurrency. More recent estimates put the number of adopters at 5-8 %. However, almost all of these individuals are trading cryptocurrency, not using it as money.
Here are the reasons that contribute to the low level of adoption:
The lack of standards. Currently, there are too many competing cryptocurrencies out there. And new ones are being created every day. “Consumer psychology research shows that when a market lacks one standard, consumers are slow to adopt the innovation because of the uncertainty,” explains the article.
High volatility has been another deterrent. In the last one year, the value of Bitcoin has oscillated between $5,857 and $18,343. 10-15% swings in a day are considered normal for a cryptocurrency, making them unfit for payments.
The third reason is the small number of merchants that accept payments in cryptocurrencies. Merchants will not adopt new technology till there are enough consumers who are willing to pay with digital assets.
For customers, there is no pressing need to change as they are comfortable with current methods like credit cards, or fiat-based e-wallets like PayPal.
Is Anyone Using Cryptocurrencies?
There are a few niche sectors where the use of cryptocurrencies has picked up, according to the article. Sports gambling was introduced at the FIFA World Cup tournament earlier this year, It has since expanded to NFL football.
Digital currencies have also been used in real estate transaction in Florida and California. Art is one more area where consumers can buy artwork with cryptocurrencies.
Recently Live Bitcoin News reported about cryptocurrencies being accepted by an auto dealer in New England and a restaurant in New Jersey.
While encouraging stories of adoption pour in from across the globe, the number is still far from desirable.
Do you agree with the arguments presented above? Let us know in the comments below.
Images courtesy of ShutterStock
The post Impact of Psychology on Use of Cryptocurrencies appeared first on Live Bitcoin News.