Over the last year, the crypto space has endured lasting market volatility and scandals, which have negatively affected consumer trust in the industry. However, an end-of-the-year report from Accenture revealed that consumers are still holding crypto — and for the long term.
According to Accenture’s 2022 Global Consumer Payments report, while many consumers still prefer traditional payment methods such as cash or credit card, one in five surveyed consumers now own a cryptocurrency.
For those that hold crypto, 28% say the choice to enter the crypto space is due to long-term investment. This is followed by 22% of consumers saying their choice to step into crypto was out of “curiosity” about the space.
Other alternative reasons were related to alternative financial options and cross border payments:
“A lack of standardization and the complexity of harmonizing regulations across jurisdictions may impede usage of CBDCs for cross-border transactions.”
The report also highlighted that the effects of recent volatility in the cryptocurrency market could “slow down their adoption, at least until the market becomes more regulated.”
Currently, only 23% of respondents said they trust crypto wallets to provide a secure environment for payments and purchasing.
It also mentioned central bank digital currencies (CBDCs) as an alternative payment method in the future. However, there are still many complications to be worked out.
The survey reached 16,000 customers in 13 countries across Asia, Europe, Latin America and North America in August and September 2022.
Related: Bringing community-based solutions to crypto lending can solve trust issues
Despite the hesitation, the recent market brought out next-generation payment methods that are on the rise. In addition to cash, card, check and e-commerce, this includes digital wallets, crypto, biometrically authenticated payments and metaverse payments.
The latter will particularly come into play as the metaverse and interactions in digital reality become more commonplace.
For now, however, the report concludes that 58% of consumers are still hesitant to transact in the metaverse due to a lack of trust in the available payment providers. This does not mean consumers are not curious.
Another recent report from Capgemini says that over 90% of consumers are curious about the metaverse and how it can transform their online experience.