Crypto Spending to Rise, but Fiat Remains
The future of finance isn't an all-or-nothing proposition between crypto and fiat, according to Petr Kozyakov, CEO of crypto payments platform Mercuryo. In a recent interview, Kozyakov predicted a future where both digital and traditional currencies coexist, each serving its purpose.
Crypto and Fiat: A Coexistence Model
While crypto adoption and demand are surging, Kozyakov clarified that a complete shift away from fiat currency isn't imminent. Instead, he envisions a scenario where individuals select the most convenient payment method for each situation. "We don’t think crypto will replace fiat," he stated. "They will coexist, and people will turn to crypto when it’s the easier, more practical option, whether that’s for payroll, yield, or money transfers."
Mercuryo Petr Kozyakov at the Token2049 event in Dubai. Source: Cointelegraph
The Rise of Crypto Payroll
The use of crypto for salary payments is rapidly gaining traction. Kozyakov noted a significant increase in companies offering crypto as a compensation option: "That is a growing trend. I see a lot of businesses that are starting to settle with their full-time employees and with their gig employees all over the world, in crypto."
This trend presents new challenges. Employees receiving crypto salaries require easy-to-use spending options. Kozyakov emphasized the need for practical solutions enabling everyday purchases using crypto, such as paying for utilities or everyday goods.
This growing acceptance is reflected in legal recognition. In August 2024, a Dubai court recognized crypto as a valid form of salary payment, signaling a broader acceptance of digital assets in the global economy.
Crypto: A Tool for Value Transfer and Storage
Kozyakov highlighted the multifaceted nature of crypto, emphasizing its value beyond speculation. He described crypto as "the perfect rail to move money and store money. And it is essential to be able to spend it." However, he acknowledged the complexities involved in spending crypto directly, often requiring multiple steps and interactions with financial institutions.
To address this, Mercuryo launched a crypto payment card in collaboration with Ledger, enabling users to spend crypto at any Mastercard-accepting merchant. Kozyakov believes that simplified crypto payment options are crucial for driving wider adoption of crypto as a medium of exchange for everyday transactions.
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