Bitcoin, which saw its price plunging considerably from its recent high of $20,000, got a big boost from Japan’s biggest consumer electronics retailer, Yamada Denki. The retail chain revealed its new alliance with Bitflyer apart from the willingness to accept Bitcoin as payments though on a trial basis. The move could invite attention from rest of the retailers in the world on the success of the digital currency.
Two Stores in Tokyo
The biggest retailer of Japan indicated that it would unveil the digital payments services in two of its stores in Tokyo to start with. The company disclosed that it would start extending the service to other stores throughout the country. However, the time-frame has not been disclosed for extending this service to other stores.
Since January 27, the two biggest Japan’s consumer electronics have started to accept the cryptocurrency. Undoubtedly, the alliance with Bitflyer assumed importance since it is the biggest exchange dealing with cryptocurrency by virtue of volume in the country.
Recognition and Promotion
An official announcement indicated that Yamada Denki would execute its initiatives to enhance the recognition, as well as, usage promotion of bitcoin. The company believes that its action was in response to the requirements of various customers within the nation and outside. The retailer is confident of offering enhanced convenience and service to its customers with the help of the digital currency.For its part, Bitflyer revealed,
“Through collaboration with Yamaka Denki, we are contributing to improving the convenience of more customers in Japan and overseas.”
The reason behind Yamada Denki’s selection of two stores in Tokyo was due to the tactical importance attached to them. The two stores could attract several foreign visitors. Also, a different type of customer base visiting these two stores fits well with the company’s thinking. The retailer believes the two stores could be a perfect bet for testing the cryptocurrency integration.
However, the retailer appears to be cautious on restricting the payments. For instance, the retailer has fixed a limit of about $2,760 or 300,000 yen to start with. As a sort of promotion, Bitflyer indicated that it would offer 500 yen to the initial 500 customers opting to make cryptocurrency through its wallet.
Setback for Adaptation
Of late, Bitcoins usage for daily transactions suffered a setback for adoption due to its network limitations. Also, higher fees for network apart from long delays in getting approval for the transaction were cited as a reason for struggling to make Bitcoin for mass adaptation. This was evident from the way North American Bitcoin Conference withdrawing the option for sale of ticket earlier this month. The fee was about $30 though average fees have come down considerably since then. Based on bitinfocharts.com, the average transaction fee is about $8.5 with the median fee of about $5.
The biggest Japanese retailer was not the only one to accept the cryptocurrency as a means of payment. Bic Camera also aligned with Bitflyer in April last year to accept Bitcoin. Later, the retail chain extended the facility to 40 of its stores throughout the country.