Cryptocurrencies carry many varying use cases, and many use cases change depending on the project in which you are looking at. For example, the use case of a cryptocurrency like Ether is to power the Ethereum network, in which many companies operate. Crypto allows for instant transactions that are secure and sometimes anonymous, but not all cryptocurrencies are meant to be accepted by businesses.
LINK is an example of rewards incentivizing initiative (companies should not accept that) where nodes collect LINK for verifying correct data feeds for the oracles. This provides an incentive for trust and the verification of transactions on the network. So, in the case of a company like Chainlink, cryptocurrency is used to help their business as it gives all network participants trust in the oracle network they are building.
Decentralized currencies rely on the trust of code and development teams, so if you have a good company, you should be able to utilize cryptocurrency to benefit your company’s needs. The utility is a massive selling point for cryptocurrencies, which is why people love ETH, LINK, SOL, among other smaller projects like HNT. However, if you are not interested in creating your own cryptocurrency for your business, accepting it is a great way to gain exposure to the market and its enthusiasts. Today, we have seen AMC’s stock jump on announcing that they will be accepting BTC payments.
Companies in the commercial sector need to make customers feel safe. So, financial privacy is a big deal to customers. The recent data leaks from Ledger highlight how dangerous a privacy leak can be for customers. This information, such as your address and email, puts you at risk of attack, as the information is almost always immediately uploaded and put for sale on black market websites. Privacy in the commercial sector also builds trust in the brand, creating lifelong customers and happy referrals.
For companies looking to expand and accept cryptocurrencies, it is important that identities remain separated from wallet addresses, as theoretically, a store owner could refer to the blockchain on networks like Bitcoin to see how much BTC a customer has. This is why companies should consider privacy coins such as Monero when discussing accepting crypto. Monero is a completely untraceable asset, and because of that, complete and utter trust in transactions makes customers feel safer and more inclined to shop with you.
Why is Financial Privacy Required in the Commercial Sector?
Financial privacy should be taken very seriously by companies in the commercial sector, which is why it would be best to accept cryptocurrencies over fiat methods. Telemarketers often gain access to phone numbers and emails through payments made with debit and credit cards, so clearly, crypto, which is not attached to a phone or email, is a safer option for both customers and companies going forward. Companies sometimes are sketchy and sell your information to other companies for a profit, so paying in cryptocurrencies is a vitalizing moment for consumers to take back their privacy and data and not allowing third parties to sell your data to other intrusive third parties.
Companies that accept Bitcoin will avoid ridiculous fees from Visa and Mastercard, as cryptocurrency transactions have low fees. If every customer in the future bought your items through crypto, you would save a fortune, as this saved money can now be kept and doesn’t need to be sent to third parties. These transactions are also highly secure, so hackers don’t need to sweat interception, as blockchains are totally encrypted.
Companies also may gain access to entirely new customer bases, as the crypto community is big and is loud. When AMC announced the acceptance of Bitcoins for movie tickets, they gained millions of new customers overnight who are intrigued and want the opportunity to test out spending BTC for fun nights out.
There is no doubt that AMC is not alone in this battle, as we’ve seen entire nation-states adopt BTC as legal tender, so all companies within the jurisdiction are forced to accept crypto and create infrastructure to accept it. As AMC continues to see BTC payments come in, hopefully, they consider the potential downfalls of payments in Bitcoin when it comes to financial privacy and turn towards private coins like Monero!