Technology has revolutionized the way we do business. It has also reshaped the way we make payments. The emergence of cryptocurrencies like Bitcoin and Ethereum along with the other applications of the Blockchain Technology that is regularly changing the financial landscape of the business world is sure to make a difference. It is very possible that the future would see the Blockchain Technology filter into the mainstream business world. While it is important to keep a track of the changes it is also important that an entrepreneur prepare his/her company to match with the changing face of the financial world. Here is a look at the six ways that the financial world will change in terms of the way people in business receive and make payments.
Everyone in the business world knows that there was an extreme popularity about cryptocurrency but it plummeted because of the lack of regulation. This led to a lot of confusion and concern among all the financial regulators in the world. It is therefore very possible that cryptocurrencies will need to come under government regulation. While talking about Cryptocurrency the IMF chief Christine Lagarde has also said that “it’s inevitable”. The fact that the top government officials had expressed concern at the World Economic Forum shows what the future of Cryptocurrency would be.
2.P2P Payments via Blockchain:
There has been a lot of different type of Cryptocurrency in the market ever since its inception. The new one called the Stable coin is something that aims at solving the problem that a Bitcoin has. Namely that of its unpredictability. There has been a rise of many companies that aim at making the use of cryptocurrency stable. People are looking at collateralizing their tokens with the real world assets of the world. Some other are looking at utilizing complex economic models to manage the supply and demand in business.
It is very possible that with these developments the tokens of some cryptocurrency experts would gain more traction. This would naturally lead to salary and general payments being paid through cryptocurrency in the future. Stable coins will surely have some effect on the financial world of business because it comes with the power of cryptocurrency while doing away with the unpredictability element.
3. Consumers will Warm Up to Cryptocurrency like Business:
The consumers would warm up to Cryptocurrency once its popularity increases in the business world. Bitcoin and Ethereum has a total volume of $500 million dollars. But the fact that most merchants do not accept them give people less opportunity to use cryptocurrency. It is safe to say that the Blockchain world is still at a very early stage and there is a long way to go.
This problem has not gone unnoticed and there are a lot of start-ups that are working on that. There is a Silicon Valley Start-up that holds a lot of promise. It is called the OPEN Platform and it is in the process of creating an Application Programming Interface or API that will help application developers to connect to OPEN API’s and begin the process of accepting Cryptocurrency without having any technical knowledge.
OPEN API can be looked at something like Stripe. While Stripe made credit card payments easy with an easy to implement API, OPEN plans to simplify the payment process of Blockchain.
4. Payments that are Generation-Z Friendly:
The future naturally would have a generation that has not seen the world before Google or the Internet. It is very possible that the future of finances would also move that way. This would bring in finances focusing on user experience and making UX designs valuable to businesses. This is something that would naturally be wanted by the future generation and there is no other way around it. The future of finances will have to be future generation friendly. Customer experience is something that would make all the difference. Making Simple payment possible will be the future.
Mobile Payments are already popular in the business world with the emergence of platforms like Venmo that has made money transfers very simple. Following this there are many entrepreneurs who are looking at providing these solutions to the consumers. The payment of goods, the possibility of paying one another or splitting bills on the go is something that is becoming mainstream. The fact that people do not need to wait for a long time to do these tasks make it all the more alluring for consumers. The convenience of mobile payments will only become more popular. Entrepreneurs who want to stay ahead of the financial game must make it a point to go the popular way.
6. The Internet-of-Things and Financial Transactions:
The Internet-Of-Things has been very popular in the business world. Internet of Things works to integrate devices at home, in public and in stores using the internet. This allows a great centralized control of many things in an environment and makes interaction easy.
Amazon has already brought about the new era of Internet of Things and Financial Transactions by popularising the statement: ‘If you want to buy something just tell Alexa.’ It is possible that the future would see Internet of Things being used for making financial transactions easy. This would naturally be followed up with finances being connected to other devices that might emerge in the financial world.
The world of business is changing every moment and entrepreneurs who want to stay ahead and thrive in the future must keep a track of it. Entrepreneurs who lag behind would find themselves in a future where no one would understand their business process. Entrepreneurs must try and make the necessary changes that is needed to accommodate the change in their business. The world of finance has already been transformed and the future would only see more transformations shaping it. The business world runs because of the finances. Keep yourself up to date with the developments in the financial world and make success in the future an achievable possibility.