Numerous financial experts claim that soon cash will fade away and crypto will become a regular payment method. We had a chit-chat with Alex Gorshkov, Founder of CoinPipe, who shared his views on the future of crypto payments and how crypto payments would change the future.
What’s the likelihood of crypto payments going mainstream?
Not only do I believe that crypto payments will go mainstream but I also believe that crypto payments will become the only payment method. Yet, it’s not only me who’s thinking that the future of payments is cashless. Financial experts have strong arguments to prove that, in the near future, cryptocurrencies will reign supreme. Under the best circumstances, cryptocurrencies won’t be an asset class anymore but an instrument for real-world transactions by 2030.
Are cryptocurrencies an effective hedge against inflation?
We’re witnessing a significant increase in the price of goods and services due to the decreasing values of fiat currencies (USD, EUR, GBP, etc). Governments are printing more money and the value stored in fiat money is dropping day after day. People are either buying gold or cryptocurrencies (the latter even more) so yes, cryptocurrencies can be an effective hedge against inflation, but there’s still some kind of risk involved.
We are going through a bear market now and prices are soaring, with the possibility of bottoming out not sooner than when Bitcoin touches the $10,000-$11,000 range. Yet, the faint-hearted ones who fear sudden price movements should consider alternatives – stablecoins such as USDT, USDC, and BUSD. From my point of view, we’re heading towards a big reset that will make the entire world turn to cryptocurrencies.
What are your thoughts about businesses accepting or not accepting payments in crypto?
Consumers are always on the hunt for new simpler, more secure, and faster payment methods. Cryptocurrency payments tick all of these boxes, which is why their popularity has been steadily increasing during the last couple of years.
Thus, given the push from customers and clients, more and more businesses are adding cryptocurrencies as one of the supported payment methods. After all, accepting cryptocurrencies can only make their transaction volumes increase rapidly. The ones that are still neglecting the power of crypto technologies and not accepting crypto at the checkout will be missing out on a once-in-a-lifetime money-making opportunity.
I also believe that, although financial institutions are still faffing about their response, they won’t miss their chance to profit from this transition, too. They are just still examining ways to reap as many benefits as possible. For instance, it is possible that some of these will develop their own stablecoins.
According to some reports, governments have been actually reducing the usefulness of cash over the last decade or so. They are starting to realize that they can regulate cash flow by simply regulating exchanges. After all, it is well known that governments and banks prefer digital transfers.
Now that you’ve mentioned financial institutions, what do you think will happen with intermediaries, such as banks?
Crypto payments, at their core, exclude banks and governments. People are willing more than ever to put their trust in digital assets rather than third parties (e.g. central banks).
Paying in crypto means anonymous ownership and transfers and eliminates central issuing institutions to a large degree.
Knowing that one of the biggest reasons why more people are turning towards crypto payments is exactly that one – wanting to be able to pay for goods and services without having to reveal their identity, I truly believe that crypto payments are the future.
However, it is simply impossible to ignore the unmatched flexibility and improved efficiency crypto payments provide, and once cash is phased out, the far-reaching implications of this will affect everyone from banks, governments, to businesses.
It’s yet to be seen how centralized institutions will be affected. However, as I already mentioned, it is highly likely for governments and banks to entirely tune into digital payments. Depending on people’s willingness to embrace crypto payments fully, financial institutions will react accordingly.
How did you get inspired to build a tool that simplifies crypto payments?
Well, it is actually a mix of factors. Before we started working on CoinPipe, we did an in-depth market and customer analysis.
Believe it or not, more than 80% of crypto owners are so ready to embrace crypto payments but the number of businesses that accept crypto is still rather small. Crypto enthusiasts are willing to pay in crypto for treats, groceries, and clothes, but big-ticket items as well, cars and property included.
Our POS terminal at NEARCON 2022, for instance, was a big hit. There was a long line for beer sold for NEAR tokens. The ability to buy it with crypto, pick your purchase, and get a receipt, akin to grocery shopping, proved to be a real buzz.
And then, on the other hand, there are as many businesses out there that have no idea about how to set up crypto payments. The steep learning curve and the lack of tech literacy are holding them back.
And yes, that’s how CoinPipe arrived on the scene. We wanted to provide a solution for businesses and help them unlock huge amounts of untapped revenue but also contribute to customer experience and content.
With us, businesses can set up crypto payments within minutes, get paid in more than 30 cryptocurrencies, track and manage payments and invoices, and escape price volatility by having their earnings instantly swapped to stablecoins.
Yet, it’s not only businesses but software developers, creators, and social media influencers that are using our service, and we’re hoping to expand our client base in the coming months. Finally, everyone who’s using CoinPipe can easily get a Visa Card and spend their crypto anywhere in the world, without a hitch.
What are you currently working on at CoinPipe?
CoinPipe is a feature-rich toolset that can truly help with setting and putting crypto payments to work. However, our aim is to perfect it even more and offer even greater benefits for both businesses and their customers.
Thus, we are working on a reward program, staking options, and an advanced payment management system. All that I can say is – sign up for CoinPipe (using our service comes at no price and all that you should pay is a small 0.5% fee per transaction) and just feel the convenience and flexibility that comes with it. You’ll never want to go back to fiat again, I promise!