Is Walmart Going To Pay Its Employees In Crypto?

The global consensus within the cryptocurrency community is that major retail giants Walmart are very much interested in cryptocurrencies, be that through the acceptance of cryptos like Bitcoin in their stores, or more interestingly, through the production of their very own native cryptocurrency. 

One question we should ask however, why do Walmart want to tap into the crypto industry in the first place? You might think that as a retail giant, Walmart already have enough on their plate in ensuring that they remain on top of their game, but we should remember that innovation is a key part of this. Do you think Amazon would have been as successful as it is today if it didn’t remain on top of emerging trends? Walmart, along with many other giant corporations understand that, whether governments like it or not, there is a huge global demand and a need for cryptocurrency, so really, it’s only natural that they would want a piece of the action too.

Forbes have recently explored this idea a little further in discussing a number of reasons and justifications for Walmarts possible swing into the cryptocurrency industry. Like many outlets, Forbes recognises Walmarts clear interest in the production of a cryptocurrency and ask, what’s in it for them?

Internationally speaking, Walmart would have a huge advantage against competitors by using a cryptocurrency that has been developed by themselves. As an international company that is required to make remittance payments, it’s no secret that Walmart spend a lot of money on transaction fees. The use of cryptocurrency can reduce the need for this significantly, giving them a cheaper and faster way to move money around their own global network. According to Forbes:

“There are two primary reasons why Walmart wants a cryptocurrency: 1) Reduce interchange fees, and 2) Enhance cross-border remittances.”

The article then goes on to reference Cryptoslate:

“Walmart had $500 in net sales in 2018. One survey estimated that 23 percent of transactions at grocery stores are done on credit. Thus, a ‘Walmart Coin’ has the potential to save the supermarket giant $2.3 billion a year, representing an impressive 22 percent potential increase to the company’s bottom line."

There has even been talk at one stage that Walmart could benefit from using their own native cryptocurrency to pay their employees, though Forbes have made some effort to debunk this rumour:

“Paying Walmart's 2 million employees in the new cryptocurrency? Really? You've been in Walmart stores before. Do the stores' employees strike you as the type who want access to the budding global crypto economy? Furthermore, do you think Walmart wants to spend the money it would take to retool its payroll systems to pay people in a cryptocurrency?”

Yeah, I think they have a point there…

Whatever their reasoning, a Walmart led cryptocurrency can only be a good thing, let’s hope that more news surfaces from the Walmart camp in the coming months and let’s keep our eyes peeled for more of this.