In El Salvador, McDonald’s is now accepting Bitcoin payments. Bitcoin payment processor OpenNode announced on Tuesday (September 7th) that the fast food restaurant (QSR) will accept the cryptocurrency in all 19 restaurants in the country.
The news follows a Quiznos announcement last month that the sandwich chain would be accepting Bitcoin in select locations in Colorado through the Digital Asset Marketplace Bakkt. In the spring, Landry’s, the company behind over a dozen well-known restaurant chains including Bubba Gump Shrimp Company, Rainforest Cafe, Joe’s Crab Shack and Morton’s The Steakhouse, announced that it would accept Bitcoin in its restaurants. As early as 2017, Burger King announced that it was introducing a crypto currency “Whoppercoin” at its Russian locations. (By the fall of 2019, Whoppercoin’s value had dropped to zero.)
Read more: Quiznos, Bakkt debut Bitcoin payments in some restaurants
Restaurant Summary: Landry accepts Bitcoin
Burger King brings new digital currency, Whoppercoin, to Russia
However, it is possible that the economics of restaurants that accept crypto payments, and especially bitcoin payments for purchases as small as fast food orders, will prove to be not working in the long run.
“If you wanted to buy a cup of coffee with Bitcoin, that transaction could cost you $ 20 (in network fees),” Keith Johnson, general manager of Ternio, told PYMNTS earlier this year. “There is also a speed issue that needs to be addressed, as transactions with BTC require the blockchain to be updated with a series of confirmations, which takes time. In times of high network congestion, this can take hours. “
See also: Beyond Bitcoin: Mainstream Adoption Is Driving Daily Cryptocurrency
Still, there is demand from crypto owners, even though they only make up a small portion of all consumers. PYMNTS ‘May 2021 study, The Cryptocurrency Payments Report: How Consumers Want To Use It To Shop And Pay, a collaboration between PYMNTS and BitPay that surveyed more than 8,000 consumers, found that only 12% of respondents said currently owning cryptocurrencies, while 84% have never owned crypto. Of these owners, nearly a quarter had already used cryptocurrency to shop at restaurants or food delivery services, and 53% said they would consider making such purchases in the future.
In addition, data from the July edition of the report shows that roughly a third of consumers who would shop with cryptocurrency at restaurants or food delivery services would do so to make their financial transactions safer, and 35 percent would do so to make online payments to do so more efficiently, and a similar proportion would do so to pay lower online transaction costs.
Related News: PYMNTS BitPay Study: How Consumers Want to Shop and Pay Using Crypto in 2021 and After
New Crypto Report: 57 percent of crypto holders pay this way when the option is offered
McDonald’s move to accept Bitcoin in El Salvador comes after news broke Tuesday that the country will be the first country in the world to accept Bitcoin as its national currency. The country bought $ 21 million worth of Bitcoin, and tweets from the country’s President Nayib Bukele said the country plans to buy “much more” of the cryptocurrency in the future.
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“We are incredibly excited to be working with McDonald’s to make the country’s adoption of Bitcoin law an operational success,” said Julie Landrum, head of OpenNode’s growth division, in a statement. “It’s just a great opportunity to experience the power of. to demonstrate [our] Lightning Network for everyday high volume, low value purchases from the world’s most popular and successful fast food chain. Clearly another important milestone on the way to growing the Bitcoin economy. “
NEW PYMNTS DATA: TODAY’S SELF-SERVICE TRIP – SEPTEMBER 2021
Above: Eighty percent of consumers are interested in non-traditional checkout options like self-service, but only 35 percent have been able to use them for their recent purchases. Today’s Self-Service Shopping Journey, a collaboration between PYMNTS and Toshiba, analyzed over 2,500 responses to learn how merchants can address availability and perception issues to meet demand for self-service kiosks.