Despite the recent optimism in cryptocurrency from tech giant Tesla and financial services corporation Mastercard, some companies seem to be a bit more skeptical and reluctant to hop on the bandwagon. Adyen, a payment company that specializes in e-commerce and mobile exchanges to help mainly entrepreneurs and small businesses grow, alongside giants such as Facebook and Netflix, has recently stated that they have no plans on incorporating bitcoin into their accepted payments. Despite much consumer interest in other markets, prompting people like Elon Musk to make such an aggressive push towards purchasing and accepting bitcoin, Adyen adds to their decision by stating that their clients don’t seem to be interested in using bitcoin to make transactions.
Adyen CEO Pieter van der Does has explained the main reason for this decision was the unpredictable volatility bitcoin and other cryptocurrencies like it present in the market, making it undesirable for payments. This appears to be one of biggest achilles heels cryptocurrencies have against them at the moment and will be a massive hurdle to overcome. One of the main reasons for the high volatility is the different perceptions people have of its intrinsic value, leading to people choosing either to purchase or sell it in mass quantities to hopefully make money off the quick changes in value. Until it levels out and its value can be quantified and agreed upon widely, it will be hard for people to adopt it among other forms of transactions.
Van der Does added to this by explaining that he sees cryptocurrencies as more of an asset and investing opportunity than an actual payment method. This ideology will make them less enticing to a merchant as they don’t appear to be grounded in real value and are less stable than well-established currencies such as the euro or American dollar. Adyen is no stranger to the cryptocurrency world, as they have gone on record back in 2015 stating that at the time they supported bitcoin, and Van der Does even stating that if bitcoin could make up 5-10% of e-commerce transactions that it would be amazing and be extremely successful. But as mentioned previously, its unreliability in value has caused them to recant the decision.
The world of cryptocurrencies is an enticing yet treacherous future we will soon have to face and come to grips with. The best way to know if they will truly work as a legitimate currency is to attempt accepting them on a large scale, which, as previously mentioned, companies like Tesla and Mastercard are giving a shot. Only time can tell if these companies will be rewarded for taking these risks or if the ones like Adyen who chose to stick behind made the wiser choice.