Fintech Bites: a case of Cryptocurrency

Fintech Bites has always been about our inside the team conversations we have about fintech and digital banking in general.

Although we have been trying to come up with topics of discussion and decide what our next Fintech Bite will be, we could not disregard the fact that most of our conversations were around cryptocurrencies. How could we not then decide to talk about that in this post?

One of the hottest topics of discussion in the fintech industry is undeniably Bitcoin and other cryptocurrencies. Recent news and announcements from big tech companies have given a tremendous boost to all cryptos. Coinbase going public, Ethereum hitting a new record price of $3.400, Travala, eBay, Tesla and many other companies incorporating  cryptocurrencies as payment methods, Elon Musk uttering the words "cryptocurrency" and "Dogecoin" on SNL live and sending crypto-lovers into frenzy (while the Dogecoin plummeted) are only the tip of the iceberg about what’s happening in the crypto market. Many believe that cryptos are just a bubble that’s ready to burst and be deflated while others  claim that cryptos will be gold 2.0

Head over to FinTech Insights to discover how you can offer cryptocurrency management features today.

 

The crypto app landscape

To buy or sell or hold crypto is easily performed via crypto exchange apps, like Coinbase, Crypto.com, Binance and Kraken which are the most popular among users. Through these apps users deposit funds to their Fiat wallets, which are wallets that allow users to deposit dollars or euros and then start trading cryptocurrencies as they wish. They can also withdraw their cryptos and store them in a crypto wallet to keep them safe from potential cyber attacks.

There are two versions of Crypto wallets, hot and cold. Hot wallets (Crypto.com DeFi Wallet, Exodus) enable users to store the cryptos online while cold wallets (Trezor or Ledger) are hardware wallets like a USB flash drive which can store cryptocurrencies off the web for maximum security.

 

 

Banks next in line for crypto adoption 

Banks and fintechs have also made steps to embrace the cryptos within their apps and platforms for customers to trade and manage them. Currently Revolut and SoFi and BlackCatCard allow users to hold and trade cryptocurrencies through their apps in addition to their money all under one application. Housing all these capabilities in a single digital banking application is immensely convenient for users who would not have to navigate between apps to manage their daily finances. But how easily can a user buy cryptocurrency through them? To answer this we examined their user journeys through FinTech Insights.

 

Let’s talk cryptocurrency UX

Today, the best UX journey offered to buy a crypto is by Crypto.com with a score of 795/1000 according to our perfect 1000 evaluation system. Not too shabby for Crypto.com. At the same time, for this exact journey BlackCatCard scores 724/1000, SoFi scores 751/1000 and last but not least Revolut scores 696/1000. All three have created smooth and fast user journeys to allow customers to conveniently and easily buy cryptos.

 

Cryptocurrencies are not projected to be going away any time soon especially with more and more people attracted to them every day. The benefits of banks including them are manifold and we have discussed them before under the wealth management features incorporation. Banks should seriously consider their inclusion since we are slowly but steadily moving towards a single inclusive application future.

 

Explore FinTech Insights today and see how you can incorporate cryptos into your digital banking and stay ahead of your competitors.

 

Read more Fintech Bites:

Ranking of Functionalities of UK High Street Bank

5 Key Functionalities in Junior Accounts

“Split the bill” functionality in the US market

Functionality Ranking – USA Challenger Banks

The Author

Sotiris Fousekas
Sotiris is VP of FinTech Insights Product, crafting the roadmap and operations. New metrics, new ways of presenting the data, deep-diving into the analytics and the continuous evolution of the product, based on FinTech Insights user’s feedback, are his main areas of focus.

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