digital payments

Global cryptocurrency ownership surpassed 295 million people in 2021, with messaging applications like Telegram, Facebook Messenger, and WeChat integrating cryptocurrency wallets and payment systems. Telegram introduced The Open Network (TON) for seamless cryptocurrency transactions and has contributed to the growth of Bitcoin casinos. WeChat is exploring the incorporation of China's digital yuan into its payment system. Signal allows users to send MobileCoin, while Japan's Line has launched its own cryptocurrency, LINK. Key drivers for this trend include the demand for financial autonomy, speed and convenience of transactions, and the need for cross-border payment solutions. Younger demographics, particularly Millennials and Gen Z, are leading adoption rates. In-app crypto payments utilize blockchain technology for secure transactions, with a straightforward process for sending and receiving cryptocurrencies. Benefits include convenience, lower fees, and financial inclusion for the unbanked, while challenges involve regulatory hurdles, cryptocurrency volatility, and privacy concerns. The integration of crypto in messaging apps could disrupt traditional banking, affect remittance markets, and prompt partnerships between banks and messaging platforms. Future growth in cryptocurrency adoption within messaging apps is anticipated, with potential mainstream acceptance akin to credit cards and mobile payments.