As per a study released by Chainalysis earlier this week, the use of Bitcoin (BTC) in relation to facilitating commercial payments has “reduced significantly this year”.
In order to prepare for the aforementioned study, the research team over at Chainalysis surveyed 17 Bitcoin payment processors and the amount of BTC related transactions they had been handling over the course of 2018.
In this regard, the researchers found that the daily BTC trade volume handled by a majority of the payment processors (in question) had “reportedly” reduced by nearly 80 percent since the start of this year.
A Detailed Look At The Matter
According to the study, when considering the TX rate of various individual payment processors, one can see a definitive decrease in the amount of BTC based transactions. For example, Coinpayments, a Canada based crypto firm, said that its BTC trade volume has fallen by more than 50% since January.
Speaking on the issue, Lex Sokolin, Director of fintech strategy at Autonomous Next, said:
“Bitcoin payments processing is seeing a slow but consistent decline.”
With that out there, the report does acknowledge that Bitcoin’s overall stability has been growing steadily through the course of this year (even through the overall value of Bitcoin payments has allegedly reduced from $427 million last December to $96 million in September 2018.)
With BTC witnessing a decent amount of stability all through 2018, many financial firms and crypto experts continue to hold on to the belief that “stability alone is not enough for Bitcoin to achieve mass adoption”.
In this regard, Joni Teves, a strategist over at financial firm UBS, told a respected media outlet that in order for BTC to garner more mainstream appeal, the digital asset needs to become faster and cheaper.
Lastly, it is also worth noting that in the recent past, major companies such as Microsoft and Steam have stopped accepting BTC payments since they believe the currency is too volatile to handle efficiently.