What Businesses Should Consider as the Cryptocurrency Market Looks Set to Hit $5bn by 2030

 Cryptocurrency adoption has surged in recent years, and well beyond people merely buying in with the hopes of prices soaring. Naturally, investment firms have been among the most notable to dive in on the craze, loving the potential of the notable volatility, but more and more, we’re seeing crypto being trusted and used as it was once intended by Bitcoin’s pseudonymous creator, Satoshi Nakamoto.

This is one of the reasons behind the report into the global cryptocurrency market by Allied Market Research, which found that quite staggering growth is on the way. In 2020, the market was worth around $1.5 billion. By 2030, hitting a compound annual growth rate of 12.8 percent, it’ll close in on $5 billion. So, what’s powering this surge of market value, and how should businesses prepare for the increased prevalence of cryptocurrencies?

Key Elements Behind the Growth of the Crypto Market

From the politicians to the public, people are increasingly finding cryptocurrencies to be a legitimate form of value and viable for payments. The leader of the largest economy in the world is a heavy backer of cryptocurrencies, wanting to make the US the “Bitcoin superpower of the world,” but this is merely one of many proponents going in crypto’s direction.

One of the main elements behind crypto’s predicted growth, however, is what enables the coins to flow. Decentralized financial systems and blockchains are becoming increasingly sought-after, offering high levels of security, autonomy, transparency, trust, and tamper-proof transactional records. As a form of payment, more and more people accept it as legitimate and want to use it to pay for goods, which businesses should note.

Importantly, the cryptocurrency market isn’t all about the comings and goings of meme coins or even the enduring volatility of Bitcoin and its highly rated kin, like Ethereum. Stablecoins have entered the game and risen in popularity for their relative stability – as the name suggests. It’s these that likely underpin the report of some 50 percent of crypto owners being comfortable with making online payments with crypto coins now.

What Businesses Need to Consider to Get Ahead of the Game

 Already, Apple, Bloomingdale’s, Expedia, Nike, PlayStation, Ray-Ban, and Walmart are known to be accepting cryptocurrencies as a form of payment, but doing so isn’t as simple as just adding another payment method like Visa cards or PayPal. To accept and operate with crypto payments, a business will need a crypto wallet, open crypto payment gateways, and consider important legal and regulatory compliance measures.

For many businesses looking to operate in the world of crypto, meeting the growing demand from consumers and the growth of the market, one of the different kinds of crypto license options may be needed. Crypto licenses are needed to stay compliant with local and international regulations as well as to keep the operation legal. The process differs for each jurisdiction, but attaining a crypto license is required if a business is to perform crypto activities.

As noted above, there are inherent benefits of becoming a crypto-accepting business, from meeting customer demands to making use of blockchain technology. However, there’s another boost specifically for businesses. Many payment transaction facilitators charge single-digit fees, like PayPal, which charges four percent. Crypto fees tend to be less than one percent. Of course, this benefit may be outweighed by the additional tax implications, depending on how the given jurisdiction treats crypto – for example, in the US, crypto is treated as property.
Cryptocurrency is on the rise, and by all accounts, it’s going to become more and more prevalent as a desirable payment method. It’s an area that businesses should try to get ahead of before the crowds flock elsewhere.