From Novelties to Game-Changers: The Surprising Impact of New Tech on Commerce

As a business owner, how often do you think about technology that was supposed to be the next big thing but failed? Most of us may reminisce over this while having a beer afterhours but I’m sure its not keeping any of you awake at night.

What about the new and emerging technologies that are still fledgelings, and only really spoken about in small circles of enthusiasts? Unless you are one of those enthusiasts yourself, you probably don’t have the time to spend researching every new thing to see how it could help you.

The stages of technology adoption are a useful model, developed by sociologist Everett Rogers, to help us understand how adoption happens, and includes five distinct stages: innovators, early adopters, early majority, late majority, and laggards.

Businesses that tend to live in the laggard stage are not going to be a threat to any of us.

So that pretty much leaves us with the early adopters and the majority. Technically curious individuals will tend towards the early adopters while most business owners probably fall into the majority.

While I do regard myself at technically curious, I am amazed at how many times I have looked at something for what it is, and not what it could become. One example that I can think of is when the first cameras were added to mobile phones. When I first read a magazine article that cameras on mobile phones were the greatest threat to the photography industry I nearly laughed. This was in the early 2000’s. At that time, I had a Sony Ericsson phone with a small camera on the back and it took positively awful photos. As a result, I never used it as a camera, and I never took it seriously. It seems that didn't age so well.

The advent of new technologies has consistently transformed the business landscape, often in unforeseen ways. As cameras on cell phones seemed like a novelty at first, but ultimately disrupted the entire photography industry, they went on to create entirely new worlds filled with social media influencers earning millions of dollars.

And in the early days of the internet, many were sceptical about its potential impact on business. The early dot.com era was marked by hyped up and failed ventures, but it also laid the foundation for the e-commerce giants of today. Similarly, the early adoption of the internet was slow, with many questioning its relevance to everyday life. However, as the technology improved and more people gained access, the internet became an indispensable tool for businesses and individuals alike.

The same pattern is emerging with bitcoin payments.

Initially, many saw bitcoin as a speculative asset or a store of value, but its potential as a medium of exchange was overlooked. However, with the development of the Lightning Network, bitcoin payments have become faster, cheaper, and more scalable. This has enabled businesses to accept bitcoin payments, reducing transaction costs and increasing financial efficiency.

The impact of bitcoin payments on business is multifaceted. For instance, companies like Mercari, a Japanese e-commerce platform, have seen significant growth in bitcoin payments, with over 100,000 transactions in the first month of launch. Similarly, Pick n Pay, a South African retailer, has reduced transaction costs by accepting bitcoin payments, which also allows customers that don’t have traditional bank accounts to buy from them, making them more competitive in the market.

The rise of bitcoin payments also has broader implications for the economy. It enables cross-border transactions without the need for intermediaries, reducing costs and increasing speed. This has the potential to disrupt traditional payment systems, such as credit card networks and banks, and create new opportunities for businesses and individuals.

Moreover, the development of bitcoin payments is not an isolated phenomenon. It is part of a larger trend towards decentralized and digital technologies that are transforming existing models.

NOSTR (stands for Notes and Other Stuff Transmitted via Relay) is a communication network protocol that allows for decentralised communication, like X or BlueSky but now enables sending bitcoin payments to people. Not only can you send a bitcoin payment, but the receiver does not even need to create an invoice. You just sent the payment to them. This has pushed the “value for value” meme on NOSTR where you send a micro payment, almost like a tip, to someone that creates content that you like.

In conclusion, the impact of new technologies on business is often unpredictable and far-reaching. The rise of bitcoin payments is a prime example of how a seemingly niche technology can revolutionize an industry. As businesses and individuals continue to adopt and innovate with bitcoin payments, we can expect to see significant changes in the way we transact and do business. Just as cameras on cell phones and the early internet seemed like novelties at first, but ultimately transformed their respective industries, bitcoin payments are poised to have a profound impact on the future of commerce.

Continue to be curious – we live in incredible times.