Cryptocurrency has been around for over a decade, but it has yet to achieve mass adoption. Many people are still hesitant to use it, citing its complexity and lack of understanding as the main reasons. However, it is possible for crypto to achieve mass adoption without people having to understand it.
Crypto is a powerful technology that can improve people’s lives in many ways. It can provide a secure and efficient way to store and transfer money, as well as a way to access financial services that are not available in their local area. It can also provide access to new markets and opportunities, allowing people to invest in assets that they would not otherwise have access to.
The key to achieving mass adoption is to make it easy for people to use crypto without having to understand the underlying technology. This can be done by providing user-friendly interfaces and tools that make it easy to buy, sell, and store crypto. Additionally, it is important to provide educational resources that explain the basics of crypto in a way that is easy to understand.
Crypto can also be used to improve people’s lives in other ways. For example, it can be used to create new types of digital assets, such as digital art, music, and other forms of digital content. It can also be used to create new types of financial services, such as decentralized exchanges and lending platforms.
Ultimately, it is possible for crypto to achieve mass adoption without people having to understand it. By making it easy to use and providing educational resources, people can start to use crypto without having to understand the underlying technology. This will open up new opportunities and markets, and ultimately improve people’s lives.
33 thoughts on “People Don’t Need to Grasp Cryptocurrency for it to Reach Widespread Use – As Long As it Enhances Their Lives”
People hold money in the banks and don’t understand/know what the bank does with their money.
Nothing stops crypto for being the same. The vast majority of cryptocurrency holders don’t understand how it works, but they hold it for its value
I tend to agree that people do not need to know all the technology behind a product or service to buy it, but people want simplicity.
In the case of electricity, turning on and off a light switch is easy. In crypto, if you send your funds to the wrong address, you have likely lost them. Beyond centralised exchanges, you need to have a (hot or cold) wallet, understand token swap, etc. Many people would see this as a barrier.
Look, do you know how an Internal Combustion Engine works in a car? Neither do I, yet I use it everyday.
= you don’t need to understand everything, that’s impossible with tech.
Absolutely agree. I think many times accessibility is being mistaken for “understanding”. It needs to be accessible, but I’m also a believer that it doesn’t necessarily have to go through the wallets we are used to now.
And with more and more user friendly options that will only get easier.
I also believe there is a balance between using services and truly using the L1 layer of a currency and don’t believe that’s necessary for everyone. It’s like the html or web interface on top of an L1 layer.
Many people are (understandably) of the idea that it should be 100% decentralized. I like to believe there can be a middle ground.
Great insights. For me, there are new techs that will make it much easier to onboard the next generation. However, exchanges and app developers need to come together and create a coherent unified framework to drive innovation and adoption.
Few people know how electricity works, but everyone knows how to turn on the lights.
It’s not that they need to understand how blockchain works, but how they can easily use crypto.
>why do people need to understand it to be able ti use it and benefit from it? The same holds for crypto imo.
As long as people do not understand the basic fundamentals of bitcoin and crypto, they’ll keep getting dissuaded by shitcoins with fancy charts whose primary purpose is to fill the pockets of a few.
Imo lack of basic understanding about the properties of bitcoin and decentralization is proliferating shitcoins with even up to billons of dollars in market cap which is ultimately hindering adoption of the principles for which bitcoin was created and is meant to flourish.
For instance, how is BSC any different from banks except for being on a blockchain? They’ve got 21 licensed validators running the entire network and are overseen/guided by Binance. What’s the point of using it really? If you want free/instant transactions, there’s the lightning network for bitcoin. BNB which is third largest after BTC and ETH hasn’t really built a network which fosters decentralization and is in some ways a ponzi-driven network meant to benefit a few. It’s also needless to say BSC is used for barely anything besides gambling/scamming/ponzi shitcoins. They hamper both growth and values of the ecosystem.
The biggest centralized entity in this space is incentivized and has been successful so far with all their intent in this regard. I surely view it as a problem in the long run. If they truly appreciated bitcoin and had no perverse incentives, why haven’t they integrated lightning yet? They could do it in a day if they liked but haven’t, and that says a lot imo. The narrative of BNB for cheap and fast transactions would disappear if they integrated lightning on their CEX.
As long as the principles for which bitcoin has stood the test of time aren’t understood well, I don’t think we’ll be anywhere close to mass adoption with an alternate system. Atleast the kind of adoption I’d like to see if we were to opt out of the fiat/centralized tyranny.
I don’t even wanna get started for the likes for TRX, SHIB, HEX, etc.
Most problems with fiat have been because the general public barely understood it to be able to/want to keep those problems in check. It’d be nice if we don’t repeat that again.
Things will get easy over time so that the average person can use crypto without understanding how it works.
Let’s take the automobile for example:
– In the beginning it was complicated, dirty and they breaked often. You had to crank the car by hand just to get it started. Most people preferred to keep horses instead.
– The automatic starter was invented. You still had to shift the gears yourself but it wasn’t rocket science anymore.
– The automatic gearbox was invented. Just press throttle or break!
– Keyless entry was invented. Now you don’t have to worry about those damn keys, just bring your phone!
– One day self driving will probably be mature. Now you don’t need to know shit about fuck.
I think crypto is still at the beginning stage. A lot needs to be done to make it easy enough to use it without understanding it.
You say usability has to improve for a mass adoption, but you make one crucial mistake here:
The tech is not suitable for mass adoption.
I only understand electricity at surface level, but that doesn’t stop me from warming up my house. User experience is made so easy here that there’s no chance for an error.
If my fortune is on the blockchain, I could lose everything at the blink of an eye. Happens all the time.
I’ll put my hand up and say that after a year in crypto, I’m still clueless sometimes. I learn new things all the time but that hasn’t stopped me from doing self custody, DeFi, staking and more.
So I agree. What’s needed is a good UI to make things easy to use, after that you don’t need to understand everything, only how to keep your coins safe
Definitely agree. Most people don’t even know how the banking system works and if they did, I’m sure they would be horrified.
People go about using their cards without actually understanding the mechanics behind it.
Many years ago i was offered Bitcoin and i sanctimoniously rebuffed the guy saying ” I don’t get involved in business i dont understand”
Now Bitcoin is several thousand dollars higher and i realise -especially as regards crypto– that i should give up on fully understanding everything and simply focus on the safeguards and the results, especially what it brings to the table.
Fake it till you make it is my new Crypto mantra
I think we’re pretty close. Basic stuff is not that complicated and anyone could use it already. The problem is that they don’t have to, so why should they complicate their lives?
That’s why adoption will come from countires in development, because they need it and they use it already more than we do.
A lot of people use fiat but have no idea about the system. There is so much more than meets the eye in this. Most don’t even understand that money is basically just worth the amount we think it’s worth🤷♂️ We left the gold standard decades ago
Exactly, I agree with you.
I know alot of people don’t understand how a cell phone works to connect them with their love ones but since it helps us all us use cell phones.
Also most of us do not know how debit card works but it makes our life easier so we jump on it.
People only care how it works on their end and how easy it is to use, nobody cares how banks settle payments as long as it works
I agree they don’t have to understand it, but it needs to be simple enough for the average person to use.
That’s why when Reddit, Starbucks, Nike, Facebook, DraftKings, Adobe, MasterCard, Ernst n Young, Etc…partnered with Polygon (MATIC), I started to DCA (way under a buck)
Thats how mass adoption begins, when crypto software is given to existing global user bases, to be used.
The biggest factor will be the incentive to use it. If the incentive is big enough, people can accept the usability barriers for entry.
At the moment bitcoin or any other crypto can’t compete with how easy, convenient and cheap it is to use fiat for groceries and have to find a different niche:
* store of value – BTC is arguably in this space, but it has to compete with a thousand mainstream alternatives
* easy to monetize work – NFTs are a promising option for artists, Moons for social media engagement and content creators
* making your mainstream assets more liquid – NFTs or tokens representing assets that are illiquid in real world – real estate, art, collectibles. This has a huge potential, but also huge barriers in the sense that without a regulatory framework around the link between digital and physical, there is a huge potential for fraud. It also requires loose regulation for trading of these tokens to actually keep it liquid.
Easier to say than do. We will have to take it one step at a time with crypto, keep experimenting and trying out new solutions, and something will eventually bite.
I agree, you me or everyone around us have no idea how 90% of things we use even works. As saying goes:
Any sufficiently advanced technology is indistinguishable from magic
It is perfect to describe average person opinion and knowledge about everyday things. We have no idea how medicine for headache exactly works, understand that radio is about some waves, but that’s all. If medicine would be healing magic and inside radio was tiny man singing it would make no difference for average person. As long as it works it works. Billions of people use internet every day and have no idea how it works. They don’t need to. Simmilar with credit cards, we pay with them, we don’t need to understand how it is possible. Unless something is your job- so you are blockchain dev you don’t need to understand everything.
Agree that you don’t have to understand it to use it, like pretty much everything we use in day to day life. However in order to use it right now, you have to understand it. Kind of like computers in 70s and 80s. It will get to a point where you don’t have to understand it to use it, but when I don’t know.
Well, the funny thing is… All examples given by people are of regulated things.
You don’,t have to know how a car works, or how a phone works, because there are rules and restrictions on how they can be built and operated, safety factors, etc.
For crypto, there is no suck thing yet.
So for now, you have to understand crypto, at least the bare minimum to make informed decisions and not buy into the next Ponzi scheme
Crypto does not improve people’s lives. It’s a huge pain to even acquire crypto. Nobody, not even a single sane person will go through the exchange nightmare route to acquire crypto just so they can spend it on a dApp. Crypto is pure speculation and when that is over it will be fully over sadly. THE ONLY time crypto will achieve mass adoption is when people will start getting paid in crypto and they will be able to spend crypto directly without doing any fiat conversion. Now I don’t see that happening anytime soon.
Well, people don’t understand how fiat works so I think you are right.
I was reading an article about italian businesses which would like to implement crypto for payments, but having to many complications for taxes.
Mass adoption will pass from ease of use -> low volatility -> clear and easy regulations.
We will not likely have the last anytume shortly.
Of course – that’s when you know you’ve made it
How many people know how the internet works versus how many people use it? Same principle
I will explain it simple, this is equivalent to coding languages. Most developers don’t need to know assembly language to code. Higher level languages (layers) were simply invented to make coding work easier.
If we go higher, people do not need to know how a program or a website works in the background.
TLDR; Crypto just needs more layers to make things easier.
Yes and no. We did a large evaluative study last year and NFTs and crypto, but mainly NFTs were one of the pillars the client and agency were banking on. It scored the worst amongst both cohorts.
I’m not at liberty to share specific details but a lot of individuals wanted to know what the value of NFTs was to their lives, but from a monetary perspective. Others found no utility in them, and a smaller group called them an outright scam.
Some projects have been around for what seems like forever and suffer from poor ease of use, and poor UI.
People don’t have to understand electricity, they simply know it’s useful for their everyday life.
I agree with you OP but I think people need to have at least some general knowledge about what they’re using/interacting with. Of course for mass adoption to occur you need some kind of advancement in the convenience and usability of crypto but it is also worth noting that proper information and education about crypto is necessary for the sake of consumer awareness and avoidance of scamming/hacking incidents.
Mass adoption is your grandma telling you how many satoshis she payed for her groceries.
Its not really about understanding, its about people using it for everyday things. Like shopping, paying bills etc with the ease of using your creditcard
Actually I dont agree.. I think technical education of the masses is a massive gap in our current world.
We have made major tec advances and everything is digitalizing at a incredible pace.
There is a major increase in scams, not only in crypto but also on regular banking services and other areas, mostly 90% of all breaches are causes by lack of end user knowledge to assess the dangers.
In my eyes the current early adopters are mostly the ones that have more tec knowledge, and we all see the amount of people being scammed already.. if mass adoption would happen this would mean people with 0 IT knowledge would use crypto, these are people that are scammed in regular banking and people that think a blue screen in windows might be a virus….
Knowledge is key for adoption because without it crypto will always be a scam for most people
Most people have no basic financial or economic understanding of the fiat systems but manage to keep their funds safe.
Crypto needs a thorough understanding of protecting private keys, moving funds and assets, payments to correct addresses or risk losing everything from a simple mistake.