Cryptocurrency is in the midst of a turbulent period, but SME owners still foresee them being commonplace on the high street within two years.
A substantial 35 per cent of SME owners foresee cryptocurrency in use on the high street within two years, while a still significant 21 per cent believe they will be in operation in just one year.
Although these businesses recognise the progress of the fast moving digital currencies, the majority remain hesitant when it comes to embracing them. So far just 13 per cent say they are already accepting cryptocurrency payments.
Surprisingly, the recent collapse of Bitcoin and other cryptocurrencies has not shaken SME owners that have invested in cryptocurrency. In fact, 59 per cent are considering making investments in it and 18 per cent are already doing so, according to Paymentsese research.
Guy Moreve, head of marketing at Paymentsense said: “It’s clear that cryptocurrencies are moving swiftly towards the mainstream. However, small business owners considering cryptocurrency as a payment option should be clear about how they can integrate it with their existing financial arrangements. Will suppliers or staff accept it? Can they pay local and national government agencies with it?
SME owners are proving open-minded in terms of other forms of currencies as well, 46 per cent have said they already accept alternative currencies, with 27 per cent engaged in schemes to encourage spending in their local areas.
“Also, the value of unregulated cryptocurrency changes fast. This has significant implications for an SME’s revenue security. Using a trusted payment processor or merchant service provider can help guard against this by allowing a swift currency exchange, and improve security processes. For entrepreneurs in emerging sectors it might be worth the risks involved, but for others in more established or slower-moving areas it could be wiser to wait and see how things evolve over the next six to 12 months,” Moreve said.
Cryptocurrencies have faced a major challenge recently, with the call for regulation ringing out louder than even. Many are losing faith in Bitcoin in particular, a pertinent example is the payment processing company, Stripe, dropping support for the leading cryptocurrency due to its volatility.