Why aren't cryptocurrencies successful as a medium of payment

[[ProTrader]]

The global economy is nearly 80 trillion USD per year.  Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

The reason why it is not yet very successful is because of the transparency of the transactions. Government don't like transparency at all specially politicians. One reason is the big players in the industry think they are already late and didn't even have the portion of Bitcoin and top altcoins in the market.

[piscook]

in my mind, some governments are still opposed to cryptocurrency as a medium of payment. People really need to understand the plan of cryptos in changing the world. Just because there are still many facilities that cannot support crypto only. In addition, Crypto is also still quite difficult to be accepted in various regions.

[Ali Akbar Torang]

Popularity, regulations, and common used. I think every new technology takes times until it was widely used by the people, new technology need to adapt first and people are feel safe when using it and the more it still tiny, the more chance for us to hold as many cryptocurrencies until it was expensive.

[enhu]

Its been a decade now when bitcoin started and we have been using it ever since including the businesses that were accepting it, we can consider it a success. There's also ETH which we have been exchanging too, I can't imagine the struggle, it was the most fud token back then now its more than $500 and its widely accepted too. There are more of crypptocurrencies like DASH which are also accepted as mode of payment and more of it.

[niublity]

At present, the cryptocurrency is still growing. He cannot serve as a payment media. At present, only Japan can support it. This will take a long time. Future cryptocurrencies must be used for payment.

[X-ray]

The global economy is nearly 80 trillion USD per year.  Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

The reason why it is not yet very successful is because of the transparency of the transactions. Government don't like transparency at all specially politicians. One reason is the big players in the industry think they are already late and didn't even have the portion of Bitcoin and top altcoins in the market.

The transparency of crypto can't be prevented because it has been using blockchain as the protocol to distribute the token. The only important thing that becomes the main factor due to the majority of altcoins are not widely used by a lot of people remember about the volatility become the main factor of it.

[Endank]

Currently crypto is an alternative or option in making transactions. And I believe it will stay that way, because if it turns into a currency, it will not be more interesting than it is today. Trying to make crypto into a global currency or payment medium may be very difficult, and not necessarily what the market wants.

[Zaidaskin]

The global economy is nearly 80 trillion USD per year.  Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

Looks like we should ask ourselves, are we going to be ready with crypto payment media? Even the crypto community is likely to be more comfortable transacting with fiat money. However we will not be able to ignore third party systems in manual transactions. So I think crypto will not end up being the primary payment medium in the future.

[jatoman]

Its been a decade now when bitcoin started and we have been using it ever since including the businesses that were accepting it, we can consider it a success. There's also ETH which we have been exchanging too, I can't imagine the struggle, it was the most fud token back then now its more than $500 and its widely accepted too. There are more of crypptocurrencies like DASH which are also accepted as mode of payment and more of it.

I agree that cryptocurrency is being used as a medium of payment.  There are hundreds of businesses that accept cryptocurrency.

I wouldn't consider this "widely accepted".

Of the nearly 80 trillion USD per year in global payments, cryptocurrency is a fraction of a percent of this.  Perhaps when this approach 10% I would consider it widely accepted.

I'm exploring what about cryptocurrency is preventing it from having wider use.

[jatoman]

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

Innovation and the change of point of view the way people/users looking at it.

Crypto's are meant to become a medium of payment but as the days are passing by it is changing. We saw on how it's effective and profitable to become an investment, store of value and asset. But it's still being used the way it is and those other use that I mentioned just adds as its feature.

No doubt that cryptocurrency has many uses other than a medium of payment.  There is also no doubt it was invented to be a medium of payment, and for this purpose it hasn't achieved widespread usage.

I agree that there needs to be innovation.  I have yet to find an existing blockchain and associated cryptocurrency that is well-suited as medium of payment.

[Herbert2020]

all these replies and nobody has yet mentioned the real reason for it!
it is pretty simple and it is because of the design. the altcoins despite their names (coin) are not designed to be a medium of exchange aka a currency. they may be advertised as a currency, they may also carry the name "currency" but they are far from it. when the developers of these altcoins are creating them, the only thing they have in their minds is how to make more money from their  creation. that is why premines, ICOs and all the rest of the ways they use have been created.

you can not expect something that is not designed to be a currency to act as a currency. look at bitcoin for example. it IS designed to be a currency and it IS acting as a currency even though many are only seeing it as an investment.

[richardeames]

The global economy is nearly 80 trillion USD per year.  Payments using any type of cryptocurrency as a medium of payment is a tiny fraction of this total.

What are some of the reasons preventing cryptocurrency from being more successful as a medium of payment?

Lack of government regulation. It leads to other implications : prominent market manipulation, prevalent frauds and scams, also high volatility of crypto prices on exchanges. Once the governments in the world embrace crypto as a new class of legitimate value transfer among entities (legal tender) and the technology is matured enough to be used in high scale mass transactions, its use will be prevalent in every sectors of our lives. I believe this is going to happen in less than 5 years from now.

[dammy1988]

Because the government don't really want it and bank and other financial bodies and sector too . But thank God some are given it a try to investigate and know how blockchain technology works now

[jatoman]

all these replies and nobody has yet mentioned the real reason for it!
it is pretty simple and it is because of the design. the altcoins despite their names (coin) are not designed to be a medium of exchange aka a currency. they may be advertised as a currency, they may also carry the name "currency" but they are far from it. when the developers of these altcoins are creating them, the only thing they have in their minds is how to make more money from their  creation. that is why premines, ICOs and all the rest of the ways they use have been created.

you can not expect something that is not designed to be a currency to act as a currency. look at bitcoin for example. it IS designed to be a currency and it IS acting as a currency even though many are only seeing it as an investment.

I agree that a foundational problem is one of design.  I'm not aware of any blockchain and an associated cryptocurrency with an adequate design so the cryptocurrency can be widely used as a medium of  payment (exchange).  So, there is room for innovation.

And for certain, virtually all ICOs and their cryptocurrencies aren't intended to be used as a medium of exchange.

Still, there are some cryptocurrencies that were designed to be a medium of exchange beginning with bitcoin.  None have achieved widespread use.  This thread is helping showing some of the obstacles preventing it.

[coinbeach1]

Pundi X sends you an additional 7% of your coins held each month until the end of the year. So if you have 100 coins on your listed wallet or Coinbene Exchange, at the end of the month they send 7 coins to your wallet (Airdrop). This way you always increase, and you can wait out fluctuations.

Good crypto Project! Their creditcard machine (POS machine) takes direct crypto payments.

[rahul10948]

May be because cryptocurrency is new, the awareness of how cryptos work to the public is still unknown to most people. People probably heard about bitcoin but how it works and how it could change our future is still unknown to them. I think the govt should or another agencies and we the crypto community should raise awareness on the possibilities of cryptocurrencies and educate more people on the uses. this can be possible reason

[indobitcoin.tk]

not can not, but could not. still need a variety of study again so that Crypto can serve as means of payment. still at risk if making crypto for payment at this time. large fluctuations make crypto is very detrimental to either party if it is used for the transaction. wait for some future time will surely begin to grow many transactions could use crypto.

[pharaon]

There are already countries that have recognized bitcoin as a means of payment, actively use technologies related to crypto-currencies, but not all countries are ready for this. For general recognition and use of crypto currency should take some time, so let's be patient.

[mik3]

crypto-currencies are characterized by high volatility, this is one of the main reasons why they are not everywhere a means of payment. this means that the commission or price for a particular commodity can vary depending on the volatility.

[goodluck0319]

the reason for this is simple - too high costs for the transfer and long confirmation of the transaction. alternatively, use third-party services as lightning network, but their implementation will take time