[2018-01-26]Starbucks Chairman Is Hot on Blockchain, Cold on Bitcoin

[vit05]

https://www.coindesk.com/starbucks-chairman-hot-blockchain-cold-bitcoin/?utm_content=buffer8dc16&utm_medium=social&utm_source=twitter.com&utm_campaign=buffer

Starbucks Chairman Howard Shultz said the coffee chain plans to incorporate blockchain technology and digital currencies into its long-term payment technology strategy, and hopes to "expand digital customer relationships."

Shultz does not, however, believe that bitcoin will play a role in this strategy, remarking that he didn't believe the original cryptocurrency would "be a currency today or in the future."

He clarified that Starbucks is not developing a digital currency or announcing an investment in blockchain or cryptocurrencies, but would like to use its stature to lend credibility to these technologies.

Shultz made the remarks in the company's quarterly investor call, which were subsequently reported by diginomica.

According to the report, he said:

"I believe that we are heading into a new age, in which blockchain technology is going to provide a significant level of a digital currency that is going to have a consumer application."

Starbucks, he added, is uniquely positioned to take advantage of the changes.

"We think we have something to offer the companies that are chasing this, because we are in a position to create the trusted legitimate place in which this could be accepted and possibly take advantage of the mobile payment digital platform that we have created."

The platform Shultz referred to is Starbucks' mobile payment app, launched in 2015, which enables customers to pay and order in-app, while accruing rewards.

Mobile payments constitute nearly one third of Starbucks' U.S. transactions, and as a result, Shultz said Starbucks is considering implementing cashless stores in the U.S.

Starbucks has a history of embracing leading-edge payment solutions. It adopted Square as the exclusive processor of all of its debit and credit card transactions in the autumn of 2012, though the relationship later dissolved.

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[maxxdxx]

Realistically, you would have to transfer crypto into a wallet attached to your Starbucks card. You still pay in usd but refill your card with whatever else. Starbucks are at their infancy stage. They should look at lightening network and XRB. These should really be the only choices mentioned for this use case.

[richardsNY]

They should look at lightening network and XRB. These should really be the only choices mentioned for this use case.

Lightning network is the only thing that Bitcoin needs right now. Once that is in place, there is no need to implement other altcoins because of them not having any 'advantage' over Bitcoin anymore. The only thing altcoins do better than Bitcoin right now, is offering faster confirmation times, and that for a lower price. I however have to point out that this is mainly the result of lacking altcoin usage. As soon as whatever altcoin sees its usage grow exponentially, like what happened with Ethereum for example, then they will suffer from network cluttering as well, which results in higher fees. I just can't say anything about when lightning network gets activated. I wish as soon as possible, but without it being tested through properly, it won't be launched.

[Samarkand]

...
Lightning network is the only thing that Bitcoin needs right now. Once that is in place, there is no need to implement other altcoins because of them not having any 'advantage' over Bitcoin anymore. The only thing altcoins do better than Bitcoin right now, is offering faster confirmation times, and that for a lower price. I however have to point out that this is mainly the result of lacking altcoin usage. As soon as whatever altcoin sees its usage grow exponentially, like what happened with Ethereum for example, then they will suffer from network cluttering as well, which results in higher fees. I just can't say anything about when lightning network gets activated. I wish as soon as possible, but without it being tested through properly, it won't be launched.

I´d argue that altcoins are also better at enriching their founders.
Most of them will probably linger around for quite a while, but will only
trade for a fraction of their former value when the altcoin bubble finally bursts.

The real question is when this will happen. Many high-profile ICOs that raised
millions of $ will have to deliver results at some point and when they fail to do that
it could disincentivize people from investing in upcoming ICOs. On the other hand
it is possible that the whole scene grows so much that every disgruntled investor
is easily replaced by new people, who are getting into the cryptocurrency scene
due to the prospect of "easy money".

Regarding the Lightning Network:
People are already using it on Mainnet:
https://p2sh.info/dashboard/db/lightning-network?orgId=1

Of course the teams behind the various Lightning implementations currently
advise people to be cautious and only use the Lightning implementations on testnet,
but apparently many people are happy to throw caution to the winds.