Why Emerging Markets Are Perfect for Crypto-Enabled Subscription Services

In many parts of the world, traditional banking systems can’t keep up with people and business needs.

According to the World Bank, over two billion people worldwide lack a bank account. Needless to say, a large percentage of this number is from emerging markets.

This gap presents a unique opportunity for cryptocurrency as a reliable alternative.

With crypto, people in places like Africa, Latin America, and Southeast Asia are already finding new ways to pay for services and protect their money. Let’s break down why subscription services using crypto are a perfect solution for these regions.

1. Financial inclusion for everyone

Billions of people in emerging markets don’t have access to a bank account. This makes it hard to pay for services, save money, or even send payments across borders. Crypto changes that by allowing anyone with a phone to access financial services.

People can use digital wallets to pay for subscriptions without a traditional bank. This means streaming services, education platforms, and more businesses can reach a whole new audience.

2. Inflation protection with stablecoins

Inflation is a constant concern in countries like Argentina, Turkey, and Venezuela, where the local currency can lose value quickly. Many people convert their money into stablecoins like USDT or USDC to avoid losing their savings. 

These cryptocurrencies are tied to stable assets like the US dollar to help users protect their wealth.

This means millions of people are choosing stablecoins over their country’s currency, which is good news for your subscription service.  In unstable countries, subscription companies rarely increase their prices immediately with inflation – as they charge in the country’s currency. 

As people switch to crypto, more customers can pay you and you can gain some stability from earnings in emerging markets.

This is why crypto provides a sense of security and stability for both businesses and users.

3. Faster, cheaper cross-border payments

Have you ever tried cross-border payments? Whether it’s a worker sending money home or a business paying international suppliers, the process is never easy. Cross-border payments are often slow, require multiple steps, and come with high fees.

Crypto offers a faster, more affordable solution. Cryptocurrencies enable near-instant transfers with minimal fees, making them an ideal option for subscription services operating globally.

If you're interested in exploring how crypto could benefit your cross-border transactions, schedule a demo with us to help you get started.

4. Trust and flexibility with decentralized payments

Crypto operates on decentralized networks. This means it cuts out the need for middlemen like banks or payment processors. 

The decentralized blockchain reduces fees, speeds up transactions, and adds a layer of security.

With DeFi platforms, businesses can set up recurring payments using smart contracts. These automatically handle payments without manual intervention to offer a hassle-free experience for both businesses and users.

5. Real-world use cases in emerging markets

In regions like Africa, Southeast Asia, and Latin America, crypto is already being used for more than just investments. It’s helping people pay for everyday needs like groceries, phone top-ups, and even utility bills. 

In Kenya, for example, platforms like BitPesa allow users to send and receive payments using crypto without the limitations of traditional banks.

Businesses that integrate crypto into their subscription models can leverage this existing user base. Providing flexible, crypto-friendly payment options will attract customers who are looking for safe and quick alternatives.

6. Overcoming challenges

There are, of course, some challenges with adopting crypto in emerging markets. 

• Poor internet connection and infrastructure
• Changing regulations

Here’s the good news. Many mobile-based crypto platforms are designed to work in areas with limited connectivity, making it easier for users to manage their payments.

Navigating regulatory challenges is manageable. Businesses should stay updated on local regulations to stay compliant and adapt as needed.

Your next step in expanding globally

Crypto-enabled subscription services offer huge potential in emerging markets. It solves many challenges for unbanked people like:

• Bank account accessibility
• Slow cross-border payments
• High transaction fees

As crypto continues to grow in popularity, businesses that welcome these payment methods can build stronger relationships with their customers and expand into new regions.

If you want to start accepting recurring crypto payments for your subscription service in less than a day, book a free demo and we’ll explain everything to you!