The Story of Buying Coffee with Bitcoin at Starbucks
3 min read · · Korean original
Hello, this is Bitpunk. Today I'd like to talk a bit about Starbucks. There's a café that people all over the world love to visit, and that's Starbucks. It looks like the day when you can buy coffee at Starbucks with cryptocurrency is coming soon.
Why Is Starbucks Turning to Bitcoin?
In fact, Starbucks never really intended to let people buy coffee with Bitcoin. However, it appears to have acquired a substantial stake in Bakkt, and in return it seems it will accept cryptocurrency payments. For now, it has said that only US customers will be able to use Bakkt's BTC-USD service. The problem is that Bakkt's launch is being delayed due to regulatory compliance issues. What is Bakkt, you ask? Please see the following post: https://stellarlumens.tistory.com/65
If Starbucks uses Bakkt's payment software, it can be much less exposed to the sharp price swings of cryptocurrencies like Bitcoin. It can also get around Bitcoin's fee problem and slow transfer speeds. That's because digital assets can be converted into fiat currency instantly through Bakkt. So, strictly speaking, it would be more accurate to say that Starbucks isn't accepting Bitcoin itself, but rather a payment system linked to Bitcoin. At least for now, that is.
Howard Schultz and Cryptocurrency
Starbucks Chairman Howard Schultz said the company plans to integrate blockchain technology and digital currency into its payment technology strategy. Howard Schultz has long shown a favorable attitude toward blockchain.
Photo: HuffPost
However, he also drew a line, saying he doesn't think cryptocurrency will become the currency of the future. And, somewhat ironically, he said, "We're not announcing an investment in blockchain or crypto technology; rather, we want to use Starbucks' standing to provide credibility for these technologies." Is Starbucks planning to create a Starbucks coin or something? Or is he laying the groundwork for a presidential run?
Starbucks, a New Gateway
In the cryptocurrency market, community is a very important factor. And being connected to the real economy matters a great deal too. Starbucks is a brand that has all of this. Even a coin with no value at all could see things change if Starbucks pushes it. For example, the rewards we collect at Starbucks are really nothing more than digital information that, you could say, doesn't actually exist. But because Starbucks guarantees their value, we can exchange them for a cup of coffee.
There are 29,324 Starbucks stores around the world. Tens of millions of customers visit every year, and if mobile payments are supported, the number of users would reach 23.4 million in the US alone, overtaking Apple and Google to become the most popular payment method.
In my view, not only will you be able to buy coffee with Bitcoin at Starbucks, but you'll probably also be able to pay cash and buy Bitcoin there. It could become a new gateway that replaces banks. Actually, maybe we should let go of the very idea of a bank now.
That's all from Bitpunk.
