Crypto Payments Coming to iPhone – Thanks to NFC Upgrade
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As cryptocurrency has become a globally used payment for some and an investment method for others, consumers are constantly looking for new ways to leverage it in their daily lives. While the investment side of crypto has been mostly secure for the last few years, payments have stalled in comparison.
This might quickly change thanks to a new development from Apple. The Cupertino company has confirmed that moving forward, third-party developers can access the Near Field Communication (NFC) module on its iPhones. This means that Apple Pay will not be the only payment system that can be instantly used on Apple devices.
Crypto Comes to Apple
Contactless payments have become one of the most popular features of Apple devices like iPhones and iPads but have been limited to the company’s in-house payment system. This is because Apple’s NFC has been limited to Apple’s closed-end payment system.
But after a decade of Apple maintaining its exclusivity, things will be changing with the upcoming iOS 18.1 software update. In anticipation, third-party payment providers are developing features and apps for Apple users. The goal is to offer them easier access and convenience in payments while also offering more options. Crypto industry stakeholders are also considering what this will mean for them.
For the last decade, cryptocurrency has been dominated by excitement surrounding these investments. Bitcoin and other tokens like Dogecoin or Ethereum have proven to be solid investments. On top of this, new crypto assets have emerged that often see massive gains in a short time. Those entering the market are thus always looking for the next big token they can invest in to make a profit.
As Goran Radanovic, an expert at Crypto News explains, new coins on Coinbase are always seeing a lot of attention from new and existing investors. While this has meant a lot of growth for the crypto sector, it also means that cryptocurrency as a payment method has been relatively neglected.
To the industry’s credit, there are several other factors at play. The often volatile nature of cryptos and sometimes the tax consequences shows that spending them for goods and services can be tricky. And even in the case of stablecoins like USDC or USDT, that aren’t as volatile, the infrastructure to pay with crypto isn’t always there when compared to the trad-fi payment rails.
PayPal took a major step to correct this after it launched its own stablecoin and began supporting crypto transactions a few years ago but more was needed. This is why there is so much excitement around this development from Apple.
What This Could Mean
So with this development of Apple unlocking its NFC, merchants who want to accept crypto and consumers who want to pay with crypto will have their needs met. For many merchants, being able to offer customers the option to pay with cryptocurrency using their phones will be encouraging. One of the most common complaints from merchants when it comes to crypto is that customers cannot conveniently pay with digital assets and thus, they do not offer it.
The same can be said of consumers who might not have physical crypto debit or credit cards and cannot pay seamlessly using their assets. Having crypto payments from third-party providers at the tap of a button will likely drive adoption among more users.
Apple has millions of users around the world. Opening NFC to apps supporting cryptocurrency could further adoption, especially for stablecoin tokens, which are a preferred way to pay for things with crypto.
Apple has also said that this new feature will only be available to vetted projects that are in line with current regulations. This means that crypto service providers who want to take advantage of it will need to get their ducks in a row.
