Cryptocurrencies have been regarded as a solution in search of a problem throughout their history. Despite their potential as an unregulated store of value and a tool for scammers, they have yet to fulfill their original purpose of serving as a means of payment for goods and services.
Recently, Telegram Messenger, the fourth most popular messaging app, announced a new way for its active monthly users to earn money through crypto payments. This move follows the footsteps of other popular messaging apps such as WhatsApp, WeChat, and Facebook Messenger.
The payments will be facilitated through the TON Blockchain, the native cryptocurrency of Telegram’s social media advertising initiatives. Channel owners and content creators with over 1,000 followers will be able to earn 50% of the revenue from their channel’s ads, paid out in Toncoin. The company chose the TON Blockchain for its low fees, high transaction speeds, and ability to process a large number of transactions per second.
It is worth noting that Telegram initially developed its own decentralized computer network, the Telegram Open Network (TON). However, after losing a court case with the U.S. Securities and Exchange Commission (SEC), the project was phased into open-source and is no longer supported by the company.
Despite these challenges, Telegram’s channels still receive over 1 trillion views every month. However, the lack of reliability and familiarity with cryptocurrencies has hindered their adoption as a means of payment.
While some companies are working towards making crypto payments more accessible, the industry still believes that it is too late for cryptocurrencies to be widely accepted as a payment method. This sentiment is echoed by PYMNTS CEO Karen Webster, who notes that the innovation touted 10 years ago has not fulfilled its promises of being the “internet of money” or democratizing the movement of money.
In comparison, companies like PayPal, Amazon, Visa, and Mastercard have successfully launched and licensed their technologies to millions of banks and merchants, making digital payments widely accepted.
In conclusion, despite the billions of dollars in venture capital funding, cryptocurrencies have yet to live up to their potential as a widely accepted means of payment. Their journey to mainstream adoption continues to face hurdles, and it is uncertain if they will ever fulfill their original purpose.