This Black Friday, crypto-enabled payments are expected to be at the forefront of consumer spending, especially for premium and collectible items, as revealed by Binance and its payments partner, Fivewest. With last year’s trends indicating a strong preference for high-end fashion and dining, consumers are increasingly adopting crypto wallets and digital assets for their purchases, reflecting a shift toward mobile-based, seamless transactions.
In 2023, Binance observed that premium apparel and collectible items dominated consumer purchases through its gateway, followed closely by spending in food outlets. These insights align with global trends of consumers gravitating toward quality and experience-based purchases. With consumers using crypto wallets via mobile devices, digital payments have become more versatile, making it easier for shoppers to transact on the go.
“Black Friday has always been a time for high-value purchases, and with crypto transactions increasing, we’re seeing a new wave of consumers taking advantage of the ease and security that mobile crypto wallets provide,” said Hannes Wessels, Country Manager for Binance. “This year, we anticipate significant growth, particularly as mobile adoption becomes more widespread.”
According to the data, the rate of growth in crypto wallets and digital payment methods remains steady, with mobile devices becoming a preferred choice for point-of-sale payments. With an estimated 560 million cryptocurrency users globally, representing roughly 7% of the global population, crypto adoption is entering a phase of broader early adoption. This growth indicates a transition from niche technology to a preferred payment option for millions. As crypto usage expands, more local and global businesses are recognizing crypto’s potential to reach new customer bases and enable seamless cross-border transactions.
Fivewest has played a pivotal role in this trend with the recent launch of a Debit Card that can be topped up with crypto assets. By enabling users to easily scan a QR code on the card to fund it, Fivewest has provided a secure, efficient means for crypto holders to transact across a wide range of retailers. This feature has seen notable traction, particularly with Binance Wallet users who frequently use it for larger transactions.
“Although this feature is still in its early phases, we’ve already seen considerable interest in it as a crypto-friendly payment solution,” said Ross Letcher, Senior Marketing Executive.
Categories most impacted by crypto spending
While data indicates that crypto spending has not concentrated in any one category, sectors like premium apparel and dining are emerging as beneficiaries of this payment shift. As a result, businesses in these categories are positioning themselves to capture a share of this growing market of crypto users.
With crypto transactions growing at an average monthly rate of 26% and potentially more if Fivewest’s debit card returns following talks with new banking partners, crypto-based purchases are on track to become a mainstay in consumer spending. Binance and Fivewest expect that this option of using a crypto-funded debit card will serve as a key intermediary step, bridging the gap between traditional payments and direct crypto transactions.
At the recent Borderless Payments Conference, Deven Moodley from PicknPay shared that the retailer processes R6 million in crypto transactions monthly, demonstrating the rising adoption and potential of crypto in retail settings.
As Fivewest continues to explore partnerships with new banks to support its debit card offering, both Binance and Fivewest remain optimistic about the role of crypto in mainstream retail. Consumers can expect more convenient and flexible ways to spend their crypto assets on everyday purchases as the adoption curve shifts from innovators to early adopters.
About Binance
Binance is the world’s leading blockchain ecosystem and cryptocurrency infrastructure provider with a comprehensive suite of financial products. Trusted by millions worldwide, Binance is committed to advancing the freedom of money through its various products, including the largest cryptocurrency exchange by trading volume. Visit www.binance.com for more information.