Jan
25
Crypto Wallets now bigger than Credit Cards
Mobile wallets are fast becoming the preferred payment method when it comes to online purchases. According to the Mobile Wallets Report 2021, crypto wallets have now overtaken credit cards to become the most widely used payment type globally. The upward trend predicts that by 2025 mobile wallets usage will increase by 74%, reaching 4.8 billion wallets worldwide and bringing billions of consumers into digital commerce for the first time.
Fast Acceleration of Crypto Wallets: Global Metrics & Trends
In 2019 for the very first time, crypto wallets overtook credit cards as consumers favoured comfort, security and responsiveness over traditional banks accounts and financial systems. Since the COVID-19 pandemic, we have seen a pronounced acceleration of the global digital payments landscape as mobile wallets became a catalyst for financial and digital inclusion, particularly in emerging markets where eCommerce is fast becoming mainstream. Regulators have been key to supporting mobile wallet initiatives in order to boost financial and digital participation (Mobile Wallets Report 2021).
Source: Boku and Juniper Research.
China, Japan and India are set to become the three fast growing global markets when it comes to crypto wallets. For starters, China has been the leading example of wallet use in the market with the likes of Alipay and WeChat Pay. Japan’s wallet history goes way back to 1999 when iMode launched the world’s first mobile wallet. And finally, India with the launch of the UPI in 2016 and the government’s efforts to demonetize its currency. Other markets in Asia will follow and become main drivers of growth, like Vietnam, Phillipines, Indonesia and Thailand.
Asia will continue to be the largest mobile wallet region in the world, as Southeast Asia will compensate for stagnant growth in China. (“Mobile wallets: Southeast Asia’s new digital life hack”, McKinsey, 2022).
Final Thoughts
There are a number of emerging trends that are and will continue to impact the mobile payments ecosystem over the next five years. Moreover, new trends are likely to emerge as well. The bottom line is that there is no denying in that mobile wallets are here to stay and we should welcome and support its adoption with open arms. After all, crypto wallets are accelerating the path to cashless societies whilst helping create a more inclusive, safe and efficient payment landscape for us all.
Mobile App Development and Dapp Development
Want to find out more about building an app with a crypto wallet? Let’s chat.