One argument raised by Bitcoin skeptics is the fact that the cryptocurrency is not designed to be used for everyday purchases such as buying coffee. In fact, Vitalik Buterin tweeted the importance of adoption pointing out that people are too focused on the possibility of Bitcoin ETF approval.
Starbucks has jumped into the cryptocurrency bandwagon. The Seattle-based coffee company is now working with Microsoft along with Intercontinental Exchange, and BGC. This collaboration aims to launch a new company which will be called Bakkt. This will help enable not only consumers but also institutions to easily buy, sell, and store cryptocurrencies. Its global network is expected to be launched sometime in November.
What it is going to do is to help convert Bitcoin as well as other cryptocurrencies and turn them into US dollars. This can then be used for anything that you want to buy at Starbucks. According to Maria Smith who is the vice president of partnership and payments for Starbucks, “As the flagship retailer, Starbucks will play a pivotal role in developing practical, trusted and regulated applications for consumers to convert their digital assets into US dollars for use at Starbucks”. She also added that “As a leader in Mobile Pay to our more than 15 million Starbucks Rewards members, Starbucks is committed to innovation for expanding payment options for our customers”.
Bitcoin into Mainstream?
Starbucks partnering up with different companies to enable crypto owners to pay for their coffee could be a good thing. Not only does it meant that it could contribute to a bullish direction for the price for the next couple of days, it could also contribute to the popularity of cryptocurrencies.
If you will ask Brian Kelly who is the founder and CEO of BKCM, “It’s very big news for bitcoin because people say, ‘Where can you spend it?’, Now at every single Starbucks”. He also added that “Starbucks is seeing some kind of demand for acceptance of crypto and bitcoin, and to tie up with a huge regulated institution like ICE is really positive for the space”.
Brian Kelly even went on saying that this development could actually lead towards the approval of Bitcoin ETFs. He added that “If you look at Starbucks history, they’re really at the forefront of digital payments, particularly in the retail space. So to have them involved is more of a signal that this is becoming more mainstream”.
With the recent development on Starbucks, ICE CEO Jeff Sprecher mentioned that “Bitcoin would greatly simplify the movement of global money”. He also added that “It has the potential to become the first worldwide currency”.
Crypto Acceptance is Expanding
There are already a growing number of companies accepting cryptocurrencies. Overstock.com was the first to accept Bitcoin in 2014.
In an attempt to improve adoption, Litecoin has partnered with some small businesses as well. More recently, you have the likes of Coinbase that has created a plugin that can be used by Woocommerce websites. With this, it becomes possible that web owners can process payments using Bitcoin and other major cryptocurrencies.
Do cryptocurrencies change the way we transact for the better or did it
bring the monetary system back?