The ease of use that digital currencies provide cannot be denied at all. Keeping the convenience of its customers in mind, Starbucks has decided to support the usage of bitcoin as a payment option. With support for bitcoin incorporated, customers can buy their coffees by using bitcoin very soon.
In order to incorporate the usage of digital currency in the global payment arena, Starbucks is teaming up with one of the world’s leading exchange operators named Intercontinental Exchange Inc. in one of their business venture named Bakkt.
According to the official press release, Bakkt will be leveraging on Microsoft’s cloud solutions to provide a global framework for allowing the use of digital assets such as bitcoin. In order to make this all possible, Bakkt is working with many spearhead organizations of the world including BCG, Microsoft, Starbucks etc. to innovate an integrated platform on a global scale to provide its user with ease of buying, selling and spending their digital assets on a global scale.
Concerning the partnership with Bakkt and support of digital currencies to buy products at Starbucks, the Vice President Partnerships and Payments for Starbucks, Maria Smith stated that:
As the flagship retailer, Starbucks will play a pivotal role in developing practical, trusted and regulated applications for consumers to convert their digital assets into US dollars for use at Starbucks. As a leader in Mobile Pay to our more than 15 million Starbucks Rewards members, Starbucks is committed to innovation for expanding payment options for our customers.
As per the support for digital assets, bitcoin will be the first use case to be tested on Bakkt. Despite dropping to a value of almost half of its peak in the start of the year, bitcoin is the most viable option to test owing to its market dominance. It is stated in the press release that:
The Bakkt ecosystem is expected to include federally regulated markets and warehousing along with merchant and consumer applications. Its first use cases will be for trading and conversion of Bitcoin versus fiat currencies, as Bitcoin is today the most liquid digital currency. The effort is designed to address evolving needs in the estimated $270 billion digital asset marketplace.
Concerning the utility and efficiency that the platform will provide, the chief executive officer of Bakkt, Kelly Loeffler stated that:
Bakkt is designed to serve as a scalable on-ramp for institutional, merchant and consumer participation in digital assets by promoting greater efficiency, security and utility. We are collaborating to build an open platform that helps unlock the transformative potential of digital assets across global markets and commerce.
As we move forward in time, the ease of usability that digital currencies provide cannot be denied. With more and more developments being made in the depart of regulations and security, the establishment of such a global framework for buying, storing, spending and selling digital currency is a step in the right direction. The CEO and Chairman of Intercontinental Exchange Jeffrey C. Sprecher is of the view that one of the goals of developing this platform is to build confidence among the asset class on a global scale regarding this market. In the press release, he stated that:
In bringing regulated, connected infrastructure together with institutional and consumer applications for digital assets, we aim to build confidence in the asset class on a global scale, consistent with our track record of bringing transparency and trust to previously unregulated markets,
The innovative possibilities that blockchain provides cannot be denied. As we move into the future, the incorporation of blockchain technology in the industry on the global scale is becoming more and more prominent. Blockchain is certainly the technology of the future to develop new business models and ecosystems for the industries. Sean Collins, a Senior Partner at BCG emphasized upon the usability of blockchain in industries by stating that:
Blockchain technology holds tremendous potential to enable new business models and trusted ecosystems. By leveraging and developing fundamental market infrastructure, the Bakkt platform will enable firms across industries to accelerate a range of innovation.
The importance of blockchain has been emphasized upon various times by several experts around the world. It is the technology that will probably rule the future. Regarding the issue of transactions taking place on this platform, Bill Cline, the United States Financial Services lead stated that:
Blockchain represents not only a dramatic shift in how financial services organizations will manage transactions in the future, but also how they structure their internal operations going forward.
The convenience provided by the digital currencies has taken the world by storm. Starbucks adding support for it in its pipeline is just another example of its demand in the modern digital world. As stated by Marcel Stalder, the CEO of EY Switzerland, “It is important to us that everybody gets on board and prepares themselves for the revolution set to take place in the business world through blockchains, smart contracts and digital currencies.”
In a nutshell, the step taken by Starbucks to incorporate a digital currency payment method in its framework might prove to be beneficial to the franchise in the long run as more and more developments and advancements are made in the world of cryptocurrency. As we are slowly moving towards a crypto world that is more regulated and secure, the development of a platform like Bakkt is the ultimate game changer. Although Bakkt is still in preparatory phase of launching, more details are expected to be announced very soon.