Researcher Claims Masses Need Not Learn Crypto Skills
According to recent Tweets by fintech and digital currency researcher, Kevin Rooke, if businesses aim to encourage a mass amount of users to utilize their crypto related apps, they should not require them to learn new skills to do so. Rooke’s research singles out financial service firm, Square Inc., as a company that initially understood the value of this concept. Square achieved triple the number of users in the span of only nine months due to their effective strategy for marketing and communication.
Success With A User Friendly Approach
In addition to Square, Rooke also based his research around three other major fintech startups including Robinhood, eToro, and Revolut. Rooke explained that the nature of cryptocurrency exchanges does not offer users an interface that's easy to use. In fact, most appear challenging and complex for beginners.
Rooke’s research stated that Square and eToro experienced a 200% boost in users since implementing simple and convenient modes of investing in digital currencies. Four years prior, eToro established a system called CFD in which users can trade or invest in BTC through the advice of brokers. Research results also concluded that Square’s overall user base experienced a significant boost once they introduced Cash App, a user friendly bitcoin trading platform. Likewise, Revolute and Robinhood received more than a million new users with the launch of their new digital currency trading service.
The Dangers of Simplification
In terms of the services they provide, Robinhood has been providing users with free transactions for just under a years time. Revolute’s user friendly app applies a fee of 1.5% across all trades. Although both companies have played a major role in mainstream adoption of digital currencies, many argue both refrain from allowing users to possess the keys associated with their own cryptocurrencies. Such a tactic contradicts the nature of digital currency and its decentralized structure, a notion deeply supported by maximalists.
Rooke notes his response to this notion, stated that the adoption of cryptocurrencies has remained minimal due to its technical and complex nature and the platforms of which they operate. To combat this, fintech companies such as the aforementioned, have helped include millions of users who otherwise would never have had the confidence to enter the crypto sphere.