Stablecoins have potential in daily payments due to their relatively stable prices (usually pegged to fiat currencies like the US dollar or assets), but they still face some challenges in practical applications. Here are key points about stablecoins in daily payments:
Advantages:
1. Price stability: Compared to highly volatile cryptocurrencies like Bitcoin, stablecoins such as USDT and USDC have stable prices, making them suitable as payment tools.
2. Cross-border payments: Stablecoins enable fast, low-cost cross-border transfers, bypassing high fees and delays of traditional banking systems.
3. Decentralized characteristics: Blockchain-based stablecoins provide transparency and security, reducing reliance on intermediaries.
4. Programmability: Smart contracts make stablecoin payments integrable into automated financial scenarios, such as subscription services or instant settlements.
Application scenarios:
• Online payments: Some e-commerce platforms and payment gateways (such as BitPay, CoinGate) already support stablecoin payments for purchasing goods or services.
• Peer-to-peer transfers: Users can directly pay individuals or merchants with stablecoins through crypto wallets (such as MetaMask, Trust Wallet).
• International remittance: Stablecoins can be used for quick payments to overseas family or suppliers, with costs far lower than traditional banks.
• Micropayments: Suitable for small, high-frequency transactions, such as tipping content creators or in-game purchases.
Challenges:
1. Low adoption: There are still relatively few merchants accepting stablecoins, and ordinary consumers have insufficient understanding of them.
2. Regulatory uncertainty: Different countries have varying regulatory policies on stablecoins, which may limit their legal use in certain regions.
3. Technical barriers: Using crypto wallets and blockchain networks has a certain learning cost for non-technical users.
4. Transaction fees: Although lower than traditional banks, Gas fees on certain blockchains (such as Ethereum) may still affect the cost of small payments.
5. Conversion issues: Stablecoins need to be converted to fiat currency for use in many scenarios, and the conversion process may involve fees or delays.
Real cases:
• Tether (USDT) and USD Coin (USDC) are the most commonly used stablecoins, widely used in crypto exchanges and some payment scenarios.
• PayPal launched PYUSD in 2023, allowing users to use stablecoin payments on the PayPal platform.
• Blockchain payment protocols like Solana Pay utilize stablecoins for low-cost, instant payments, attracting small merchants.
• Africa and Latin America: In countries with unstable currencies, stablecoins are used for daily transactions and value storage.
Future trends:
• Central bank digital currency (CBDC) competition: Central banks in various countries may launch CBDCs that could compete with stablecoins, but stablecoins still have a market in the short term.
• Layer 2 solutions: Solutions like Polygon and Optimism reduce transaction fees and enhance the efficiency of stablecoin payments.
• More merchants accepting: As payment infrastructure improves, more retailers may support stablecoins.
• Clear regulation: Clear regulations may promote the adoption of stablecoins in mainstream payments.
Suggestions:
If you want to use stablecoin payments in daily life:
1. Choose mainstream stablecoins (such as USDC, USDT) to ensure liquidity and acceptance.
2. Use wallets or payment platforms that support stablecoins, and be aware of transaction fees.
3. Pay attention to local regulatory policies to avoid compliance risks.
4. Prioritize merchants or services that support stablecoins, or use them indirectly through crypto payment gateways.