Starbucks will incorporate blockchain and cryptocurrency into their payment technology.
According to Howard Schultz, Starbucks Chairman, the coffee chain is adding the technology to their strategy in order to “expand digital customer relationships.”
While unlikely that Bitcoin would be a viable solution to pay for $5 coffees due to speed and transaction costs, it would be in their best interest to develop their own technology.
But according to Schultz, he ensured that Starbucks Is not developing a digital currency, and the company does not plan on investing in blockchain or cryptocurrencies.
A company their size is just what blockchain needs; utilizing the technology would share widespread confidence and bring acceptance to using these cryptocurrencies for everyday purchases.
The reports come from diginomica, in which Schultz’ remarks were shared in a Starbucks investor call.
He was quoted saying:
“I believe that we are heading into a new age, in which blockchain technology is going to provide a significant level of a digital currency that is going to have a consumer application.”
And who besides Starbucks would be better to spearhead the opportunity?
Schultz stated that “One of the real benefits of what we’ve been able to accomplish as a company has been the entrepreneurial DNA of Starbucks and constantly having the curiosity to see around corners and make big bets.
And he’s right.
“I think there’s probably no better example of that than over the last five six years what we’ve been able to do around digital mobile payment.”
You can say that again. Starbucks and their devoted customers have widely adopted their mobile app and eagerly adopted the rewards program. If there’s a company that can successfully incorporate blockchain into their payment ecosystem, it’s Starbucks.
“We think we have something to offer the companies that are chasing this, because we are in a position to create the trusted legitimate place in which this could be accepted and possibly take advantage of the mobile payment digital platform that we have created.”
With almost one third of Starbucks transactions happen through mobile payments, the possibility of new cashless stores is on the table.
One thing is for sure – as long as people believe in crypto, Starbucks will be one of the first major companies to accept digital currencies.