Why the crypto payments industry will benefit from the coronavirus crisis — 3 reasons

The coronavirus pandemic has turned our world upside down. Whole industries are in deep crisis, and millions of businesses will close. But the crypto industry — and crypto payments in particular — will come out of this stronger than before. Why? We’ll explain the 3 key reasons in this post.

If you are following the crypto prices, then you’ve seen that things are looking much better now than they did a couple of weeks ago. Bitcoin isn’t back at $9k yet, but the overall mood is bullish.

Market activity is speeding up, too. Here at Cryptoprocessing.com, we’re noticing a spike in transactions, too. Our analysts have identified 3 main reasons why the crypto payments industry is heating up in these difficult times.

1) Rapid growth of iGaming

The share of online gambling has been growing quite fast, and now it accounts for about 23% of the total gambling market. The remaining 77% are brick-and-mortar casinos (as in Las Vegas and Macau), bookmaker shops, lottery tickets you buy from your local newspaper stall, and so on.

Only now all those casinos and bookies are closed. People who enjoy gambling (or use it to earn a living) have to move online — to the market segment known as iGaming.

All those new users quickly realise that a debit or credit card isn’t a good way to pay in an online casino or betting site. Many banks refuse such transactions and even block the cards themselves. E-wallets aren’t perfect, either, because they are now also introducing controls and can block iGaming payments.

By contrast, crypto payments are perfect for online gambling. They work 100% of the time, and no bank can block them. And on Cryptoprocessing.com, transactions in the most popular currencies (BTC, ETH, BCH) are instant, so players don’t have to wait.

2) Rising interest in crypto

In the past weeks, the number of Google searches for ‘buy bitcoin’ spiked. It by far outnumbered the searches for ‘sell bitcoin’. Clearly, many of these searches come from people who aren’t active crypto users yet — otherwise, they wouldn’t need to google how to buy crypto.

As these new users are joining the market, they will generate demand and bring liquidity. The level of public interest in Bitcoin will grow; more and more businesses will add crypto to their payment options. It’s a self-feeding cycle: the influx of new crypto holders stimulate businesses to implement crypto payments, which in turn motivates people to pay with crypto.

3) Expansion of the fintech industry

As whole countries go into lockdown, people have to leave their office jobs and look for a new remote occupation. Fintech (including crypto) is an attractive career because it can thrive even during a crisis. The crypto winter is over, and many new startups are appearing. They need remote developers, designers, customer support specialists, etc.

These professionals will receive their salaries in crypto. And that means a lot of new cryptocurrency payments.

For a company with many employees, sending each payment manually is a nightmare. Instead, they will use crypto payment services that offer recurrent transactions and mass payments. With Cryptoprocessing.com, such operations are a breeze.

Can you think of any other ways in which crypto payments will grow because of the ongoing crisis? If yes, then share your ideas in the comments. And don’t forget to follow Cryptoprocessing.com on Twitter!