Amazon and Walmart: The Future of Digital Payments with Stablecoins
Amazon and Walmart are considering the introduction of their own stablecoins pegged to the US dollar, representing a potential revolution in digital payments. These plans aim to significantly reduce payment costs and accelerate transactions by bypassing traditional intermediaries like credit card providers.
Background and Motivation
- The retail giants aim to reduce the annually high fees for credit card payments through stablecoins. In 2022, these fees amounted to about $93 billion for US merchants.
- With blockchain technology, payments could be processed almost in real-time, unlike the usual delays of one to three days with traditional payment methods.
- Stablecoins enable direct payments between customers and suppliers without intermediaries involved.
Market and Regulatory Frameworks
The introduction of their own stablecoins by Amazon and Walmart could significantly bolster the mainstream adoption of cryptocurrencies. However, a crucial factor is regulatory clarity in the US: The “GENIUS Act” aims to establish a uniform legal framework for fiat-backed cryptocurrencies. Agreement from both chambers of the US Congress is necessary to achieve binding regulations that facilitate such projects.
Impact on Investors
These developments are particularly relevant for private investors:
- Stablecoins are considered a potentially stable form of investment within the volatile crypto economy.
- The involvement of large companies like Amazon and Walmart could strengthen trust in digital currencies.
- A broader acceptance of stablecoins could provide new opportunities for returns by acting as a bridge between traditional financial systems and the crypto world.
Market Reactions
The announcements have already shown effects: Shares of Visa and Mastercard came under pressure with stock losses of nearly 5%, as their existing business models appear threatened by corporate stablecoins.
In summary, Amazon and Walmart’s considerations to introduce their own stablecoins could represent a significant step towards the digitization of payments. This has the potential not only to change cost structures in retail but also to sustainably influence the role of digital currencies in everyday life and their attractiveness to private investors.