While some are skeptical about cryptocurrency, others believe that its future in E-Commerce is bright. If Bitcoin isn’t the future of E-Commerce, then stablecoins may be. For example, Facebook’s Libra cryptocurrency was originally intended to be a stablecoin that would be tied to a basket of short-term government bonds and bank deposits in historically stable currencies. However, after facing criticism from traditional financial institutions, Facebook pulled back from its original vision. The currency could soon look like Venmo, a popular mobile payment application. This initial setback, although major, does not say much by itself about the prospects of stablecoins – especially in terms of acceptability or longevity. How Cryptocurrency Will Change E-Commerce E-marketer projects Global e-commerce sales to reach $5.545 trillion worldwide in 2022. Also, according to a recent Forbes report, online retail has grown nine times faster than overall economic growth. With retailers continuing to focus their efforts on growing markets like India and China, cross-border payments and global e-commerce become increasingly important. One way to overcome some of these challenges may be stable coins—cryptocurrencies designed to maintain a fixed value relative to another asset or currency. Two ways they could change e-commerce forever are listed below. Stablecoins could be a tool for eCom transactions Stablecoins are a cryptocurrency with a hig...
