Are consumers ready to spend bitcoin on everyday goods? Cryptocurrency payment platform NectarPay is testing that question with a rollout of 11,000 handheld point-of-sale terminals to merchants across Texas, following an initial deployment of 1,000 terminals in the Dallas-Fort Worth area.
The terminals are designed to allow merchants to accept cryptocurrency payments directly from customers while potentially reducing the transaction costs associated with traditional card networks such as Visa and Mastercard. Some alternative payment platforms can also carry significant fees. PayPal, for instance, can charge merchants 4% or more per transaction, while some bitcoin exchanges advertise fees below 1%.
NectarPay’s system creates a non-custodial wallet that can receive payments across multiple blockchain networks. The terminals’ default payment option is the Texas-based TEXITcoin blockchain.
Retailers Have Experimented
Research from PayPal and the National Cryptocurrency Association indicates that some merchants are already accepting cryptocurrency, including a larger share of major businesses. Several national retailers have tested crypto-related payments or rewards programs, including Whole Foods, Chipotle, Sheetz, Starbucks, and Shake Shack. However, broader consumer adoption of crypto payments remains limited compared with traditional payment methods.
“This appears to be more merchant-driven than customer-driven,” said Joel Hugentobler, Cryptocurrency Analyst at Javelin Strategy & Research. “The appeal is lower fees, faster settlement, and no chargebacks, even though actual consumer use of crypto for everyday purchases remains very small. For now, NectarPay is more about merchants testing a cheaper rail and looking to attract a niche audience rather than responding to customer demand.”
Customers Are Asking Questions
While there is limited data on how frequently consumers are using crypto payment options at checkout, many merchants expect interest to grow. According to the National Cryptocurrency Association, nearly 85% of merchants believe crypto payments will become common within the next five years.
Even among customers who are not currently using cryptocurrency for purchases, interest appears to be increasing. Roughly 88% of merchants report that customers have asked whether they accept crypto payments. Whether that interest translates into everyday spending may depend on broader changes in the digital asset market, including volatility, ease of use, and consumer confidence.
“People don’t hold crypto to spend; they’re holding for capital appreciation,” said Hugentobler. “I’d imagine when we’re in a bull cycle, spending would increase some with those gains, but the opposite in our current bear market.”
