It’s been nearly a decade since the launch of a new peer-to-peer electronic cash system we know as Bitcoin. Slowly the world is beginning to see value of this mysterious internet money as more and more vendors adopt digital currency into their ecosystem. But what will it take to actually gain mainstream adoption for cryptocurrency?
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Ben Bernanke, the former chairman of the Federal Reserve (2006 – 2014) had cited former Vice Chairman Alan Blinder’s testimony written in a letter to the Senators of the Committee on Homeland Security and Government affairs dated September 6, 2013 that “there are also areas in which they (electronic money) may hold long-term promise, particularly if the innovations promote a faster, more secure and efficient payment system.” 1
In April, 2017, Japan recognized bitcoin as an official method of payment and less than a week later major retailers were partnering with Japanese exchanges to accept digital currencies for their goods. 2
What have the Japanese tapped that the rest of the world is just beginning to wake up to? The answer is simple: billions of dollars in liquid cryptocurrency that people want to spend on goods and services. Unfortunately there are major roadblocks hampering mass adoption.
Changing consumer habits will not happen with blockchain technology, geek speak, and the latest app alone. For a decade cryptocurrency has catered to a very niche group but it is finally gaining its stride by expanding into mainstream markets and reaching those who need it the most. But even more than offering a product or service, creating a healthy ecosystem to promote those products and services is crucial.
William Mougayar, author of The Business Blockchain, investor and advisor stated: “The key thing that needs to happen is the explicit linkage of the token with the usage, whether that usage is directly linked to the end-user or the developer.” 3
Let’s then talk about the unbanked. There are approximately two billion unbanked people worldwide and yet, according to World Bank’s data, more than 20% of unbanked adults receive wages or government supplements in cash. 4 Immigrants often send funds back to their home country to support families and it is these people, who can least afford it, that pays exorbitant fees for the privilege of using costly wire transfers to send their hard-earned cash.
Three initiatives that will open the doors to crypto
STEEMIT
More than just another blogging platform, Steemit has introduced cryptocurrency to content creators of all ages and all walks of life from around the globe. In the crypto world Steemit did an amazing thing: They harnessed the power of community first; and almost as an aside rewarded their users with tokens of appreciation, which happen to carry monetary value.
Mainstream bloggers and creative artists to gamers and anarchists come together on one platform to share, earn, and tip through upvotes and comments. Their earnings split into short-term liquid funds and long-term investment. There is a reason behind their mantra: “Come for the rewards. Stay for the community.”
VIVA
The VIVA project is a broad-reaching cryptocurrency ecosystem which works with fiat instead of trying to replace it. Their integration includes a healthy DEX, crypto wallet, Stored Value Facility (SVF) with banking and remittance capability, and the ability to easily transfer funds around the world for minimal cost.
“The VIVAconomy harnesses the cumulative power of all the transactions that occur in the system and reinvests them in the long-term future of everyone involved.” – Dawn Parker Waites, CEO
Beyond banking capabilities, they understand that there may be a point in our near future when there will not be enough jobs. Not to underscore the value of Universal Basic Income, VIVA is initiating something better – dockerized worker nodes allowing anyone with available CPUs to earn income.
OPEN MONEY
Everyone uses some kind of technology and tapping into software development may be the battering ram that takes down the castle doors. The founders of Open Money envision a world where their products tap into the value of blockchain and cryptocurrency technology. Instead of launching a single product they too see the value of presenting a whole ecosystem for streamlining the adoption of cryptocurrency.
Rather than replace the familiar Apple and Android app stores, the Open Money team want to create a bridge that afford software developers a larger stake for their products, tools to integrate their creation into the cryptosphere without spending untold resources on recreating their work, and benefit from the billions of dollars in digital currency.
Going Mainstream
The combined forces of these three crypto enterprises packs a solid punch through the brick and mortar walls by virtue of community strength, fiscal responsibility, and software development because, as Mougayar suggests, they tie usage to the end-user and developer. Get your digital wallets ready; the future is already here.
Do you agree? Let me know in comments.
