A jewelry shop, located in Silicon Valley has reported a significant growth in the number of payments made in Cryptocurrency. The area has some of the highest rent rates as it is home to some of the world’s largest companies such as Instagram, Facebook, Amazon, and Microsoft. Stephen Silver Fine Jewelry has been accepting virtual currency payments since 2014. It seems the company is ages ahead of other businesses in the industry.
Cryptocurrency Payment More Appealing To Big Spenders
Stephen Silver Fine Jewelry in Silicon Valley has announced that more people are now paying using Cryptocurrencies than when the program was introduced a few years ago. Moreover, the shop has revealed that big spenders prefer the new payment method. Cryptocurrency payments now exceed credit card payments according to Stephen Silver, the CEO of the company. He added that the digital assets are especially beneficial when used in large transactions.
Jared Silver, the company’s president said they started accepting Crypto payments in 2014. However, it was not until last year when the program finally picked up. Currently, Cryptocurrency payments account for 20 percent of transactions in a company with an average sale of about $1 million.
The president noted that most people associate with businesses that accept Cryptocurrency payments. The company has said most of the customers using this new payment method are 29 to 45 years old. The reported that most of these payments are for flashy watches and not jewelry.
In Mr. Silver’s words, many young successful entrepreneurs are buying expensive items such as MB&F watches to reward themselves. Such watches cost over $100,000. For international travelers, transferring such huge sums through wire transfer is expensive and time-consuming. With Bitcoin, however, such transactions can be processed in no more than 20 minutes to the benefit of the customers. He has revealed that they pay 1 percent fee for the conversion of the Cryptocurrency to US dollars.
More Businesses Learning About Blockchain
Blockchain has been around for a number of years and Mr. Silver has noted that although the popularity of the technology has been rising, some businesses and customers are confused and skeptic. The president added that he learned about the technology at EY while working as a consultant.
Only a few major retailers such as Overstock and Reeds Jewelers are accepting Cryptocurrency payment. Patrick Byrne, Overstock CEO said they introduced the new payment method to attract digital assets customers abroad. About 25 percent of sales at Overstock are paid in Cryptocurrencies with most of the items being furniture and large appliances.
Blockchain And Cryptocurrencies Come With Many Benefits
It is clear that Cryptocurrency payments come with more advantages over the traditional fiat system and that’s why more businesses are now accepting them. Elizabeth White said she believes the digital assets are the future. White was an executive at LVMH and Formula 1 before creating The White Company in 2017. She has been using her company to assist the Crypto-wealthy to accomplish big-ticket transactions.
Cryptocurrencies have been hailed for reducing transaction time and cost. Moreover, they enable customers to pay for goods in any place. The use of Blockchain technology in luxury brands could allow them to control the gray market according to Jin Keyu, a prominent economist and a Richemont board member.