Many people across the world are using crypto as an investment vehicle, but opportunities to use cryptocurrency or stablecoins like USDC and USDT as a means of settlement, payments, and exchange are rapidly expanding. The journey has been bumpy so far, and not everyone is enthusiastic about crypto because the currency is volatile, implies monetary risks, is associated with money laundering, and the list can continue. Still, the longer-term potential for blockchain and digital currency-based payments remains. To be fully explored, it needs to be explained, understood, and tested.
The Payper's first edition of How to tap into Crypto Payments and Web 3.0 for Banks, Merchants, and PSPs Report aims to provide a go-to payment resource of crypto terms and concepts for those interested to understand the basics of crypto payments and their long-term impact. Furthermore, it shares practical examples of cryptocurrency-enabled ecommerce and banking services and presents the latest developments in the regulatory landscape. Also, it reveals what are the most innovative companies in this space, that are building the crypto rails.
Among report participants we name just a few: ACI Worldwide, Banking Circle, Binance, GoCrypto, TripleA, Worldline, CMS, and many others.
Despite all the turmoil (e.g. LUNA's unstable stablecoin, FTX's lack of consumer funds protection, several big hacks, etc.), no one can deny crypto’s potential to solve payment needs such as reconciliation, chargeback guarantees, risk management, fraud prevention, the cost of cross-border payments, and government regulation. There is a lot of ongoing payments technology innovation happening away from areas where crypto is seen primarily as a speculative digital asset.
To test this hypothesis, between June and September 2022, together with INNOPAY, The Paypers surveyed banks, payment institutions, vendors, merchants, and AP / AR departments to gauge their interest in crypto infrastructure, tokens, and services for businesses and institutions. We found that 88% of the respondents expect crypto to have an impact on the current payment infrastructure, which is why some are already ‘testing the water’. But strikingly, many respondents are not yet offering crypto products or services due to unclear regulations and AML/KYC challenges.
Although some organisations are now offering services based on crypto technology, they are still in the minority (24%). Most of the respondents see various crypto-related opportunities and are keen to pursue them but are still very much at the exploratory stage: reading and researching the crypto opportunities (53%), talking with customers (43%), or preparing decision-making for usage or going to market (26%).
The report’s educational content and survey results are coupled with a mapping of the main players in the crypto payments and the web 3 ecosystem. Whether they are crypto exchanges, wallets, card issuers, ATMs, lending, borrowing, custodians, money transfers, protocols, blockchain analytics, etc., these players offer the capabilities to build and protect the crypto rails in the B2B, B2C, or B2B & B2C area.
As regulation is key for the advancement of this space, the report reveals the latest developments in the crypto regulatory landscape in Europe (France, Germany, the Netherlands), the US, the UK, Asia (Hong Kong, China, Singapore, Vietnam, Philippines, Australia, India), and LATAM (Argentina, Chile, Colombia, Brazil).
The How to tap into Crypto Payments and Web 3.0 for Banks, Merchants, and PSPs Report is endorsed by INNOPAY and The Payments Association (PA).
You can download your free copy here.
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