Few consumers are using digital wallets – just 2% according to recent data from Gallup – and those who don’t say concerns about security are the reason.
Despite enthusiasm among financial tech observers and investors for digital wallets, it seems few users are enthused. Other studies suggest that while many consumers have heard about mobile wallets, overall adoption is low.
New data released by Gallup adds to this canon, finding little interest for digital wallets – software that ostensibly enables easier payment via electronic means. Why? Fifty-five percent of those who don’t use digital wallets cite a lack of trust in security as a major concern. Another subset – 21% – say they don’t know enough about the products.
This lack of trust extends further to the platforms on which the digital wallets are accessed. Just 19% of respondents told Gallup that they “have a lot of trust in their cellphone platforms”, with only 15% saying they “have a lot of trust in their cellphone carrier”.
Even those who have a degree of faith in their mobile phone from a security perspective feel they would likely never use a digital wallet.
As Gallup noted:
“Only 4% of these trusting smartphone users say they are extremely likely to start using a digital wallet in the next 12 months. Conversely, 53% of them say they are extremely unlikely to start using a digital wallet.”
What does this have to do with bitcoin? Nothing on the surface given that Gallup didn’t ask respondents how they felt about bitcoin wallets.
But if and when bitcoin wallets become more ubiquitous, these same concerns could come into play as startups pitch bitcoin wallets to the wider public.
Mobile banking image via Shutterstock