A cryptocurrency wallet is just a digital wallet where you can keep your digital assets safe. It requires private and public keys for making any transactions i.e. for sending, receiving and storing cryptocurrencies. The growing number of crypto users around the world is leading to the growing use of crypto wallets. This is growing the demand for a reliable cryptocurrency wallet development.
With the beginning of a new year, a lot of developments, trends and technologies are expected to emerge this year. This blog will make you aware of the top 8 cryptocurrency wallet trends that might be seen in 2020.
Following are Top 8 Cryptocurrency Wallet Trends:
Growing Crypto Wallet Users
The past few years have seen huge adoption of digital currencies. And cryptocurrencies cannot be used without a wallet. Currently, there are more than 36 million in use. As per the professionals and experts, the adoption of cryptocurrencies is not going to stop and hence, the number of crypto wallets will keep on growing.
Compared to the users from the past 3 years, there has been a growth by 5x, as per a report. This growth is going to increase in the coming years and hence, you can expect users’ numbers to increase in 2020.
NFC Enabled Wallet
NFC is an abbreviation for Near Field Communication. It allows for wireless transfer of data between devices in real-time. Crypto wallets are planning to move towards the use of NFC based solutions. Although, this has already been introduced in the UK and is now increasing its adoption globally. This is definitely a great trend as it empowers the users in various ways. In this, solutions are achieved by joining together the smartcard interface and the reader into a single device. This results in increasing the proximity of digital currency transfer.
The use of NFC based wallets will possibly increase the exchange process between buyers and sellers. The sender is only required to tap on the NFC button, then it will automatically search for the buyer’s wallet address from the public address and funds will get transferred to the receiver’s account. People are also demanding for contactless payment and this technology will give them exactly what they want.
For this solution to work, the smartphone needs to be in the proximate region where you want to process the payment. This technology is gaining popularity and therefore, it is expected that in 2020, all of them would be NFC-enabled.
Transnational payment remittance is a transaction that you make in another country to your friends, family, workers, etc. Sending and receiving money internationally in fiat currency is not efficient as the fee is very high and takes a lot of time too. But since the introduction and adoption of smartphones and e-wallets, there has been an increase in international payment.
Digital money has reduced the difficulty of sending money to friends and families living in other countries and has made it cheap and quick too. In 2019, e-wallet payment solutions have made international payments possible, so more innovations and progress is expected this year.
Crypto Wallet Market Consolidation
In the past few years, mobile crypto wallets have captured a big chunk of the whole cryptocurrency market. Last year also quite a few positive trends in e-wallet solutions have been seen which is expected to result in strengthening the global e-wallet market in 2020. Many service providers and users are looking forward to ways of increasing the adoption of e-wallet solutions. Therefore, for this advancement, many companies and technologies are making way for e-wallet developments.
Wallets to Start Replacing Exchanges
Every crypto user is now moving towards making their transactions more private and for this, using a wallet in place of exchange has already been suggested. People want to minimize the chances of loss and fraud and thus, e-wallets are believed to be a reliable solution.
Cryptocurrency developers are trying their best every day to make wallets more secure for safeguarding digital assets. Hence, in 2020, it is expected that digital currency exchanges will be replaced by e-wallets as people are trusting the latter more for storing and trading cryptocurrencies.
Induction of Loyalty Programs
As the number of crypto users and wallets is increasing, many service providers are trying to attract users with several attractive offers. In 2019, one among these offers and tricks was loyalty programs. This enabled customers to collect and save loyalty points in the form of cryptocurrencies. Customers can redeem these digital coins in the future.
For example, loyalty points that you earn through a wallet could be used for various offers like spending in hotels, etc. In 2020, more loyalty programs will surely emerge to connect users to a specific crypto wallet.
From Custodial to Non-Custodial Wallets
Custodial wallets allow users to store their private keys under the responsibility of the wallet provider’s server. This puts keys at risk of having their access with the crypto wallet developers. But, in the last few years, a lot of hacking has shifted individuals and businesses from custodial to non-custodial e-wallets. Hence, this year, it is expected that the majority of e-wallets will be non-custodial as this will enable users to have complete control over their digital currencies.
KYC enabled Internal Checks
A geographical based KYC/AML verification is gaining a huge attraction in the cryptocurrency market. The KYC feature will soon be implemented to all e-wallet solutions that facilitate payment through crypto exchanges. This will authenticate users while they will withdraw or perform any other transaction using the cryptocurrency wallet.
Hoping that all these expected trends will bring a promising future of cryptocurrency in 2020. These improvements will increase efficiency and tighten the security and privacy issues related to digital currencies. Therefore, it can be said that there will be growth in the number of e-wallet users. Crypto users can be more sure about security in their transactions and it will make cryptocurrencies more reliable.