Cryptocurrencies are becoming more mainstream every day as traditional institutions can no longer meet the expectations of clients. Western Union, a leading financial services company based in the United States has indicated interest in the use of cryptocurrencies for payments.
This was revealed by Western Union President Odilon Almeida during an interview with Reuters Plus. according to Odilon, the company has considered the adoption of cryptocurrencies for a long time as an option for users who would like to exchange for fiat, if cryptocurrencies become widely accepted globally.
“Western Union is ready today to adopt any kind of currency. We already operate with 130 currencies. If we one day feel like it’s the right strategy to introduce cryptocurrencies to our platform, technology-wise it’s just one more currency. I think cryptocurrency may become one more option of currency, or assets, around the globe to be exchanged between people and businesses. If that happens, we will be ready to launch.”
Western Union is a financial service and communications company. Founded in 1851, the company provides many services, one of which is person-to-person payments. Its services are available in over 200 countries globally.
While the cryptocurrency market is not in a good state right now, its future adoption is a great possibility as cryptocurrencies provide better and more affordable services than traditional institutions do. A veteran company like Western Union considering the adoption of cryptocurrency is a good sign.
The president, however, named three challenges to the mass adoption of cryptocurrencies which include volatility, governance, and compliance. saying stablecoins are helping to solve these problems.
Crypto companies such as Ripple are already very competitive in rendering payment services around the globe. currently, hundreds of clients including banks and other financial institutions around the world use Ripple’s payment platform to provide fast and affordable payment to users.
Western Union tried Ripple’s blockchain in June but says it could not see any cost efficiency that would warrant adoption of the technology for payments. The CEO of the company Hikmet Ersek said:
“We are always criticized that Western Union is not cost-efficient, blah blah blah, but we did not see that part of the efficiency yet during our tests. The practical matter is it’s still too expensive,” Ersek told Fortune, in an interview.”
As cryptocurrency adoption continues to grow though, more digital assets will see more adoption until cryptocurrency and blockchain technology become the leading technologies in all sectors globally.