According to a report published by the payment media company Minsait Payments, cryptocurrency adoption in Ecuador is four times higher than the average in Latin America.
Cryptocurrencies have become a trend in the payments sector, thanks to the ease they offer for sending immediate transactions, without borders and at very low cost.
These qualities of cryptocurrencies are highly appreciated, especially, in developing economies where, in addition to facilitating payments, they are also helping citizens cope with inflation problems by protecting their value.
According to the company Minsait Payments, In Ecuador, three out of ten people with an active bank account have invested in cryptocurrencies.
In its latest payment trends report, quoted According to Ecuadorian newspaper La Hora, the company notes that the adoption of cryptocurrencies in the country has been steadily growing in recent years. Ecuadorians are increasingly using cryptocurrencies as a payment method and as a means of investment.
Thus, according to the data, the adoption of cryptocurrencies in Ecuador quadruples that of other Latin American economies. Compared to European countries, Ecuadorians' interest in digital assets is seven times higher than the European average.
However, although the use of cryptocurrencies is constantly increasing in developing economies, Minsait Payments also points out that a significant part of the global population still perceives cryptocurrencies as an alternative investment asset, rather than an everyday means of payment.
More than 2 million Ecuadorians have used cryptocurrencies
Cryptocurrencies are among the preferred digital assets of banked Ecuadorians, Minsait Payments said.
According to the company, almost 30% of Ecuadorians who have a bank account (around 2,4 million people) have made some kind of transaction related to cryptocurrenciesThe report indicates that 15,8% of payments made in the last year within the Ecuadorian economy were made through cryptocurrencies.
On the other hand, the majority of investors and users of cryptoassets in Ecuador are young adults under 35 years of age, with medium to high incomes.
Economist and crypto investor Sebastián Rodríguez commented that cryptocurrencies represent an investment opportunity for citizens in the country, despite being a market still in development and growth. Rodríguez also highlighted the decentralization and financial freedom offered by cryptocurrencies such as Bitcoin as the main attractions that are captivating the interest of Ecuadorians.
The growth of cryptocurrencies in payment systems
The expansion of cryptocurrencies globally is a topic that has caused much debate. While users and companies in the crypto industry defend the opportunity and innovation that these digital assets represent to democratize access to money, promote financial inclusion, reduce dependence on centralized institutions and encourage innovation and development, governments question their volatility in the market, the pseudo-anonymity of transactions and the lack of regulation, pointing out possible risks that can affect the stability of investors and economies.
However, the innovative approach that this asset class offers – to access the financial system, conduct business anywhere, and protect long-term value, among other things – continues to drive its adoption and growth.
Minsait Payments highlighted that Cryptocurrency adoption is still in its infancy.
In addition to Ecuador, interest in cryptocurrencies as a means of payment and investment assets is also significantly higher in the Dominican Republic, compared to the rest of Latin American economies.
Continue reading: How do Spaniards invest in cryptocurrencies?
