One of the biggest things holding back adoption in the space is that cryptocurrencies are not really that easy to use. The most frequent question we get is “how do I buy and sell cryptocurrency”. Setting up a wallet is a daunting task for crypto newbies. Plus, there’s a lot that can go wrong, for example, losing your private keys.
And that’s where Coinbase comes in.
If you don’t know what Coinbase is, click this link. Here’s a quick rundown. Coinbase is one of the most popular places to buy cryptocurrency. It’s actually how a lot of people get introduced to crypto. Several people that I know conducted their first purchase of cryptocurrency via Coinbase.
Coinbase’s main goal is to be as easy to use and as accessible as possible, so anybody has the opportunity to purchase cryptocurrency, no matter what experience level they may have. Coinbase is definitely a big hitter in the cryptocurrency community. Even rumors of cryptos being potentially listed on Coinbase are enough to send the markets into a frenzy.
So Coinbase is a big deal in the space. And they are looking to solve the withdrawal problem. It isn’t easy to turn your cryptocurrency into something spendable. Some have pointed to this fact as a main reason we are yet to see mass adoption.
Coinbase and WeGift partnership
Coinbase users will now be able to turn their cryptocurrency into e-gift cards. So now your annoying friend that constantly reminds you that “no one accepts crypto as payment” can officially eat it.
Coinbase is partnering up with WeGift, a European e-gift card provider, that already is selling e-gift cards in Spain, Italy, France, the Netherlands, and Australia. They have already seen some success in the e-gift card market.
Is this a surprise? WeGift describes themselves as,
“a platform which enables transactions of gift cards, for any brand, in any amount, anywhere in the world, in real-time.”
And if you know a little bit about blockchains, you can see the clear crossover, mainly in the value of decentralization and peer to peer transactions. So looking at WeGift, it is no surprise that a company with that mission is stepping into the cryptocurrency space.
But that leaves the question, what can you actually buy via WeGift?
Well they have quite a few large partners, like Uber and Amazon. So effectively you can end up spending your cryptocurrency on these services, you just have to use WeGift as an intermediary.
It seems like a really interesting business model. But what happens when these companies start accepting cryptocurrency? Is WeGift’s model sustainable? The fact that they are using blockchain technology to help move funds across borders via gift card makes them relatively unique.
Check out more places to spend your crypto here.
So what do you think about the Coinbase and WeGift partnership? Will you use this service? Let us know!
Business on the Blockchain is a series aimed at keeping you up to date on all of the big business moves towards blockchain technology. More and more businesses are exploring cryptocurrencies and blockchain, and we’re here to help you understand how some of these businesses are making this transition. It’s an exciting time for blockchain adoption, check out which businesses are jumping onto the wave!
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