The CEO of Amazon, Andy Jassy, announced crypto payments in his company. However, he is straightforward that his firm will not accept crypto payments soon.
Many people did not like this announcement. However, analysts still think that Amazon will move into cryptocurrencies in a big way. This could happen as soon as 2022 when the company would develop its own cryptocurrency. Despite the analysis, Jassy’s decision is still a big setback for the crypto payment market.
Amazon Will Not Accept Crypto Payments
Regarding the decision, Jassy did not justify why Amazon will not support crypto soon. On the other hand, David Moreno Darocas, an analyst for CryptoCompare, expresses his opinion. He thinks that the main reason is that the company does not want to risk losing money. This fear of risk comes from market volatility.
This makes sense because internet-only retailers tend to have low margins. Meanwhile, Amazon has a net margin of 2%. One may not understand this and ask, ‘What does this mean?’ If the price of crypto goods went down on a given day, the company would lose money on those items.
In the general analysis, Bezos is not a fan of Bitcoin. Another reason for not accepting crypto payments might be a possible crypto token of Amazon. The path seems clear for developing its own token.
A Possible Amazon Token
A job advertisement for a person in charge of digital currencies and blockchain was posted in 2021. As a result, this caused a lot of talk about Amazon’s plans to use digital currencies. The job description looked for someone skilled in product development for “Amazon’s Digital Currency and Blockchain strategy.”
Moreover, rumors about an Amazon crypto tie-in have been around for a long time, like on eBay. However, despite the job ad, the company did not reveal any plans regarding this topic. Some people have thought that the job posting meant that Amazon would start making its own token. Nonetheless, these are only speculations, as the company has remained silent on this topic.