Hi everyone,
As we are approaching towards the end of the month, I started paying my bills earlier such as telco bills, eletricity bills and water bills with some access money I had for this month.
It is always my habit to make advance payment for the utilities bills as I see it as a neccesary cost and making as much earlier payment as possible can relieve some of that financial flows.
Upon making payment, I always have that thought, "When can I actually start utilizing my crypto to pay for my bills?"
This will be a game changer to my financial flow if that can be really realized.
Paying bills with cryptocurrency
I know that there are quite a number of use cases where an individual can use cryptocurrency to pay expenses or purchases. There are even organizations that can actually receive Bitcoin as a mode of payment. Even Tesla used to accept Bitcoin as purchases but was put on-hold due to concerns of environmental issues.
I mean, isn't it quite wonderful if you can pay your due diligence using crypto?
Of course yes.
While making purchases with crypto has seen functional, I guess paying such bills can also be materialized.
Challenges
I guess, there are several challenges arised when accepting cryptocurrency as payment to pay bills.
At the moment, organization has not fully adopted Bitcoin as a mode payment. This can be seen clearly where only very little Bitcoin adopted by giant organization and especially government agencies here in Malaysia.
Challenge 1: Lack or almost 0 adoption
That puts that as the most top challenge. Almost 0 adoption. According to CryptoCrunch, we are currently at the Early Adopters phase for Bitcoin flow of adoption phase. Hence, making Bitcoin not a platform to make payment at all by many organization and what more for government agencies.
Challenge 2: Lack of expertise
Simple and straightforward. People need to well understand about Bitcoin, cryptocurrency and blockchain. The current industry experts are lacking expertise in this area.
Challenge 3: Incur extra costs
Organization and government agencies see this as a side where they have to spend money on things they don't understang which discourages them to spend on this.
I feel that there are more other can be listed but I will stick on this 3 major challenges first.
How is the current method of paying bills from cryptocurrency?
I also know that we can pay but it requires a lenghty and tedious process which at the end, user might give up. At the moment, the only possible way to pay bills from crypto is by transferring Bitcoin to local regulated exchanger such Luno (this is the case of Malaysia). From there, then we can withdraw which takes about a few days to process. All in all, this process roughly takes 3 - 5 days to do.
How about from Hive to pay bills?
It is possible but unfortunately will take longer period of time and requires more lengthy process. I have never done it but the process isn't quite complicated unless you are not familiar.
The processes are:
- From Hive send to Binance
- From Binance swap/sell to Bitcoin
- From Bitcoin send to local exchanger (Luno)
- From Luno, make Withdraw
- After Withdrawal, make payment to bill
The swapping to Bitcoin may changed with Litecoin since the network fee is cheaper
I just wished it was way simpler
Yup, I just wished that the process was way much simpler.
Example, maybe the company can directly accept Bitcoin?
But, seeing this at how there are, we are still at the process of early adopters phase.
Final thought
It took 10 years for Bitcoin to raise to price and make people to understand its structures. Hence, perhaps we have to wait another decade for organizations starts fully adopting Bitcoin.
Happy Saturday!