Welcome to Innovating Payments Top 3 News Headlines for the week of April 17, 2022. PYMNTS and BitPay recently announced the release of their report, "The U.S. Crypto Consumer: Cryptocurrency Use in Online and In-Store Purchases." The report reveals that 23 percent of consumers-59.6 million people-have owned at least one cryptocurrency in the past year, up from 16 percent-41.5 million people-in 2021. Also in the news, an article in American Banker reported the number of banks and credit unions joining the RTP network is slowing and that merchants are now driving the real-time payments conversation. President Joe Biden also announced his intent to nominate former Treasury official Michael Barr as the next Vice Chair for Supervision of the Federal Reserve.
For more on these stories, read on.
1. New Data Shows Nearly 80% of Crypto Consumers Use Bitcoin to Pay Online and In-Store (PYMNTS.com)
The Biden administration's March 2022 executive order and recognition of digital currencies on a national scale comes when the U.S. consumer ownership and usage of cryptocurrencies as a viable payment method is reaching unprecedented heights. Not only do 16% of U.S. consumers - 41.2 million people - now own at least one type of cryptocurrency, but 16.1 million have used cryptocurrencies to make online purchases in the last 30 days, and 7.1 million have used it to make in-store purchases in that time. Read more.
2. Merchants Are Now Driving the Real-Time Payments Conversation (Payments Journal)
An article in the American Banker highlights that at this point in time in the evolution of real-time payments, there is a bit of a slowdown in the number of banks and credit unions joining the RTP network. The early adopters have completed their integrations, or at least their ability to receive transactions, and the smaller financial institutions are just trying to figure out how they prioritize the new payment method. Read more.
3. Michael Barr Tapped as Fed Vice Chair for Supervision (ICBA.org)
President Joe Biden announced his intent to nominate former Treasury official Michael Barr as the next Vice Chair for Supervision of the Federal Reserve…In making the announcement, President Biden noted Barr's role as a key architect of the Dodd-Frank Act and in the creation of the Consumer Financial Protection Bureau. Sarah Bloom Raskin, Biden's previous nomination, withdrew her name from consideration after facing opposition from Sen. Joe Manchin (D-W.Va.). Read more.
With the growing recognition of digital currencies on a national scale, how is your financial institution preparing to meet your customers' and members' needs in this area? What's driving real-time payments in your financial institution? What impact might Michael Barr's nomination as the next Vice Chair for Supervision of the Federal Reserve have on the payments industry?
Check back soon for our next issue, which will again highlight the industry's most pressing and need-to-know developments. Until then, visit us online at Innovating Payments.
AUTHOR: Joe Casali, AAP, NCP
Executive Vice President
As the EVP of Payments Innovation for NEACH, Joe focuses on exploring innovative solutions and technologies that will help position members for success, both now and in the future. Connect with Joe to read more of his blogs, articles, and posts.