In the last year, increasing numbers of people have rushed to the meteoric rise of Bitcoin. Teenagers’ college savings has saved. Some families have mortgaged and all placed on the table. Even billionaires proposed the digital currency to include 10% of all wealth.
Much money is at stake and livelihoods and savings are in store for the people. Bitcoin itself has a range of problems as a medium for capital. It is volatile — misery falls up to 30% in a single day financing hard to recover once picked up. And the software of bitcoin can be more transparent, programmable and flexible behind other older cryptocurrencies.
Amazon is the world’s leading online retailer.
Despite online shopping in the United States. And operates globally with revenue of more than 94 billion USD last year. Yet Amazon has to encourage people to pay for bitcoin and any other cryptocurrencies. Despite offering a wide variety of payment options. It is in a prime position to do so as the leader in online retail. Any Amazon cryptocurrency adopted would see a huge rise in aid.
Amazon’s restricted transfer rates can prevent it from cryptocurrency. See the two big cryptocurrencies at their peak. The Bitcoin has 7 transactions per second and Ethereum has 15 transactions per second.
During Amazon’s prime revenue last year, Amazon averaged at 600 transactions per second. If even a portion of its traffic were to pay for crypto-currency. It was a time for customers to wait before payments have done. Not a smooth trip for consumers.
Bitcoin and Ethereum are weak to accept orders from Amazon, but not other cryptocurrencies. A cryptocurrency called ripple has reported transfers up to 1500 per second.
Why could Amazon take cryptocurrency into account
Whilst the official position on cryptocurrencies has not been revealed. Several indicators indicate that Amazon finds this room rather than Bitcoin-friendly.
Amazoncryptocurrency.com And amazoncryptocurrencies.com have supposedly taken on October 31st by Amazon. This step could just mask their bases. Or it could be a glimpse of the future. Apps now market Amazon Gift Cards for Bitcoin so in some way, Amazon will simply extract Bitcoin from his website.
‘Customer Obsession’ is one of Amazon’s key principles. Amazon will send them what they want if customers demand a form of a cryptocurrency payment. Many of its buyers buy goods worldwide. Cryptocurrency could be a great way to shop for people to benefit from a standardized currency without worrying about exchange rates.
What might occur?
There are several aspects in which Bitcoin’s present rule may be jeopardized:
1. Amazon can stay outside the cryptocurrency industry
Bitcoin will gain broad market support to cross the divide from investment to currency. It is unlikely that Amazon will remain out of the industry indefinitely. But if it did Bitcoin, the world’s largest online dealer would suffer from exclusion. It wouldn’t destroy Bitcoin, but it would harm its currency value.
2. Amazon would take a Bitcoin competitor
It appears likely because Amazon’s necessary purchase price cannot achieve by achieving Ripple is a prospective 1000 + TPS candidate. This scenario might put bitcoin’s dominance as the top cryptocurrency at risk. A possible contract with Visa has almost 700 percent higher Monaco’s cryptocurrency price. Any deal with Amazon would drive the investor upward. It would not ruin bitcoin if Bezos chose to follow this path, but any coin he took might kick bitcoin out of its top position.
3. Amazon should create its own cryptocurrency
Amazon Prime Video is an indication Amazon enjoys playing in high-potential places to use its huge army of developers to make major games. Its holdings include cloud storage, video streaming, and hardware. It has the technical resources to break in if it sees the potential in the cryptocurrency space.
It was not the first time that a large established company started its token. The chat giant, Kik, launched the ICO in September 2017 to raise $75 million. Overstock has seen its stock grow by 30% since its intention has to revealed by ICO in December of this year, a publicly traded e-commerce firm.
Through developing its own blockchain Amazon could expand its use to its various services: from Amazon Prime to Twitch to Audible. That would allow customers to transfer funds within the Amazon ecosystem. We will contend with any other cryptocurrency. And promote mass acceptance by giving a 5% or 10% off on Amazon Coin orders. It could consider the technical talent to create a coin. That would outperform Bitcoin in matters of size and confidentiality with ten thousand of developers and high pay salary.
This is bitcoin’s most dangerous scenario, but it depends on Amazon making a big move in an area it has stopped so far.
Take a look at Amazon as cryptocurrency market growing
For now, in this room, Amazon seems to remain silent about his intentions. But whatever Amazon cryptocurrency chooses could become an overnight household name. Whether Amazon prefers bitcoin, Ethereum or anything more. The selection would affect the current blockchain environment. Crypto-monetary and innovation are here to remain. But bitcoin and its owners may not be the number one crypto-monetary.