Ripple’s new study sheds light on the level of interest in bitcoins (BTC), Ethereum (ETH), XRP, stable coins and central bank digital currencies (CBDC) among payment professionals around the world.
In August and September, Ripple asked 854 executives from 22 countries – all involved in payment services for digital banks, retail banks, money changers and payment aggregators – about their interest in digital assets.
Of the group, 34% say their companies already produce blockchain technology for payment use cases. 24% of respondents say they are moving to production, and 21% say they are using a pilot project or proof of the concept of blockchain technology.
In addition, 47% of respondents say they are interested in bitcoins, 25% are interested in Ethereum, and 19% are interested in XRP – all compared to 2018, when cryptocurrency markets were in the early days of the long-term retreat.
In contrast, the central bank’s digital currencies, stable coins issued by banks and non-bank stable coins have recorded huge surges of interest since 2018. Today, 45%, 35% and 17% of respondents say they are interested in the CBDC, stable coins issued by banks, non-bank stable coins, respectively, with only 1%.
Against the backdrop of fluctuating interest in cryptocurrencies, the survey indicates that cryptocurrency volatility still affects financial professionals.
“This year’s report showed that price fluctuations, which have affected the two best digital assets, and perhaps the most well-known – bitcoin and ether – affect respondents’ perceptions of volatility and create a problem. Most respondents say they are confident in the reliability of digital assets, but are concerned about their volatility. Respondents in mature markets are most concerned, with 61% saying they are very, very concerned. Instead, less than half of LATAM and APAC respondents are concerned.
One reason for this is that these regions include countries with relatively volatile domestic currencies and the devaluation that devalued during the first six months of the COVID-19 pandemic, such as Argentina and Mexico. As a result, respondents in these regions were more likely to study digital asset volatility separately, as they considered how to hedge against national currency risk and manage foreign currency-related taxes and capital controls.
Overall, Ripple concludes that respondents are still concerned about the clarity of blockchain regulatory technology, implementation costs, and security. However, some countries are making progress on the regulatory front, and emerging markets are realizing the benefits of the new technology.
“Emerging markets are leaders, recognizing that the responsible use of blockchain and digital assets can open up huge potential for their economies. Undoubtedly, both will contribute to greater financial integration and economic growth, in contrast to the influence of the Internet. Mature markets also benefit. “
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