Security remains the most significant hurdle preventing the widespread adoption of cryptocurrency payments, as the industry continues to grapple with hacks, phishing scams, and fraudulent activities that erode trust and legitimacy.
According to a recent Bitget Wallet Onchain Report shared with Cointelegraph, 37% of investors identified security risks as the primary barrier to using crypto for payments. The survey, which included 4,599 users, highlights how concerns over potential asset loss, unauthorized transactions, and platform vulnerabilities are deterring mainstream adoption.
Despite these fears, 46% of respondents still prefer crypto payments over fiat currencies, citing advantages such as faster transaction speeds and improved efficiency. This preference indicates growing interest in crypto’s practical benefits, even as security remains a top concern.
Bitget Wallet Boosts Security with Multi-Layered Protection
To strengthen trust in crypto payments, Bitget Wallet has implemented multi-layered security mechanisms aimed at safeguarding users from common threats. According to Alvin Kan, Bitget Wallet’s Chief Operating Officer, the platform has made security a “top priority” by introducing advanced protection features.
One key enhancement is MEV (Maximal Extractable Value) protection, now enabled by default on major chains such as Ethereum, BNB Chain, and Solana. This feature helps prevent front-running and sandwich attacks, which exploit transaction ordering to manipulate prices.
Additionally, Bitget Wallet launched GetShield, an advanced detection engine that actively scans smart contracts, DApps, and URLs for malicious behavior. This proactive security layer alerts users before they sign any potentially harmful transactions.
To further boost user confidence, Bitget Wallet maintains a $300 million user protection fund, offering an extra layer of assurance in case of platform-level asset losses. This fund provides financial protection, fostering greater trust in the platform’s reliability.
Rising Phishing Scams and Emerging Threats
The crypto industry continues to face sophisticated phishing scams, with address poisoning emerging as a major threat. This scam involves fraudulent address manipulation, tricking victims into sending funds to lookalike wallet addresses controlled by scammers.
In just the first three weeks of March, victims of address poisoning attacks lost over $1.2 million in crypto assets. Such incidents highlight the need for enhanced wallet security and user awareness to prevent falling victim to deceptive tactics.
Interestingly, generational differences in crypto payment concerns are becoming evident. Gen X users prioritize security, citing it as their top concern, while Gen Z users are more focused on usability and cost-efficiency, according to Kan.
Africa and Southeast Asia Lead Crypto Payment Adoption
Bitget Wallet’s report reveals that Africa and Southeast Asia are at the forefront of crypto payment adoption. The survey found that 52% of African respondents and 51% of Southeast Asian respondents showed strong interest in crypto payments. This growth is driven by high remittance costs and limited access to traditional banking services in these regions.
To support the unbanked population, Bitget Wallet offers simplified onboarding with non-custodial wallets that don’t require traditional bank accounts. According to Kan, this lowers the entry barrier, allowing users to send and receive crypto payments without complex technical knowledge or reliance on centralized platforms.
With support for over 130 blockchains and stablecoins, Bitget Wallet enables users to transact globally using assets that retain purchasing power. The platform also provides local fiat on-ramps and multichain support, making crypto payments more accessible to users in underbanked regions.
Latin America Turns to Crypto for Lower Remittance Costs
In Latin America, the high transaction fees associated with traditional wire transfers are driving users toward crypto payments. According to Statista, average remittance fees in 2024 were 7.34% for bank account transfers.
By switching to crypto payments, users in the region can avoid these high costs, making cross-border transactions faster and more affordable. This financial advantage is accelerating crypto adoption as users seek cost-effective alternatives to conventional payment methods.
Read Also: Why Is Bitcoin Stuck at Its Current Price?
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.
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