Stripe has just dropped a new product that lets companies facilitate fiat-to-crypto payments in tons of countries. The customizable widget can be embedded into decentralized exchanges, non-fungible token platforms, wallets, or decentralized apps, and is designed to let customers instantly buy cryptocurrencies in Web3 apps.

Knowing Stripe’s emphasis on UX, we might say goodbye to complicated crypto purchases.

Why does this matter?

I and many (most) people don’t care about the whole crypto shenanigans.

We believe paradigm change is coming. Our thesis is that eventually, Web2 or non-blockchain native companies are going to embrace Web3 blockchain infrastructure, improved security, efficiency, and transparency.

In fact, this has already been happening under the hood and away from the spotlight of mainstream media. Reddit recently onboarded millions of users in their platform to the NFT ecosystem without them knowing by focusing on seamless purchase experience and smart UX writing.

Nike is launching .SWOOSH, a blockchain-powered platform that will allow users to collect and co-create virtual creations. The platform will use web3 technology to create an inclusive space for athletes, creators, collectors, and consumers to design and own the future of the sport.

Users will be able to learn about and collect virtual creations, such as virtual shoes or jerseys, and eventually co-create them. The platform will launch in beta later this month, with the first digital collection set to drop in 2023.

Starbucks is launching Starbucks Odyssey, its first web3 technology project. The loyalty program, which will launch later this year, will combine Starbucks Rewards with a non-fungible token (NFT) platform that enables customers to purchase digital assets to unlock exclusive rewards and experiences.

Customers will be able to collect NFT collectibles, known as “journey stamps”, and use them to gain points to unlock exclusive rewards. Starbucks Rewards members will be able to engage with “journeys” such as interactive games and challenges.

Image Credits: Starbucks

How Might Stripe Play a Role in this thesis?

Stripe is big. How big of a colossus are they really? we are glad you asked, anon. Let’s take a look at some data.

• Stripe’s reach is global, with support for over 130 currencies and the ability to process payments in 25 countries.
• Stripe has processed over $100 billion in transactions for millions of businesses.
• Key features of Stripe’s payment system include customizable checkout experiences, fraud detection and prevention, and support for a wide range of payment methods.
• Stripe also offers a range of additional features and tools, such as support for subscriptions and recurring payments, automatic invoicing, and real-time analytics and reporting.
• In addition to its large volume of transactions, Stripe also has a high success rate for processing payments, with over 98% of payments being successfully completed.
• Stripe partnerships are massive and span across almost every industry. Ecommerce? Amazon, Square. Social media? Twitter, Reddit. Ridesharing? Lyft. Hotel? Trivago. 🤣

Over the past year, Stripe has expanded its partnerships with crypto companies, offering more support for crypto payouts to 67 countries, enabling companies to send USDC payments to people and businesses across the world.

As more retail companies adopt Web3 and blockchain technology, it is likely that customers will begin to interact with the blockchain without even realizing it. The use of decentralized applications and smart contracts will become increasingly common, and the underlying blockchain technology will become seamlessly integrated into the customer experience.

Opportunity for UXers

This presents unique challenges for us UX designers. We might be designing payment gateways that support digital currencies with their unique features and characteristics in the future.

Many if not most users may not be familiar with, hesitant, or even understand cryptocurrencies, and we might be tasked to increase crypto payment adoption by our corporate overlords! How might we create payment gateways that are easy to use and understand, and that clearly explain the benefits and risks of using cryptocurrency for payments?

The first step of any design process is to Understand. That starts with us, let’s take a look at Stripe’s crypto-onramp page.

Image Credits: Stripe

This page is quite straightforward and only USDC has a connection to crypto. USDC will probably be one of the most used digital currencies to bridge between Web2 → Web3.

What exactly is USDC? How is it different from other cryptocurrencies like Bitcoin or Ethereum? How is the value of USDC determined? Is USDC regulated by any government or financial institutions?

Enter the world of Stablecoin.

A stablecoin is a type of cryptocurrency that is designed to maintain a stable value relative to a specific asset, such as a fiat currency like the US dollar. This makes stablecoins a useful tool for online transactions and payments.

They don’t come with no risks despite being stable. Stablecoins are often issued by private companies or organizations, and the value of the stablecoin is tied to the trust and creditworthiness of the issuer. They may be subject to various regulations depending on their use and the jurisdiction in which they are used.

Other popular stablecoins examples are Tether (USDT), Binance USD (BUSD), Paxos Standard (PAX), DAI.

Image Credits: Stripe

A common term that we will continuously see in most of the Web3 interactions is Wallets. The most frequently asked questions in this area for newcomers are usually what exactly are crypto wallets? how does it work? do I NEED to use it? can I lose my cryptocurrency if I lose my wallet? can I use a crypto wallet for multiple cryptocurrencies?

and who do I call if I lose access to my wallet? hint: no one, you’re usually screwed.

Crypto wallets are a difficult topic and one of the biggest friction for mainstream adoption, it’s hard to grasp entirely without getting technical, and that is not good.

If I have to explain this to my mom… I might say a crypto wallet is like a safe where you can keep your money online. It has a special code that you use to get your money out and give it to someone else. You can use a crypto wallet to keep your money safe and make sure no one else can take it.

But, this is not how it works as we don’t actually store our digital currencies in our crypto wallets.

The first concept we need to understand is the differences between ‘Custodial vs. Non-Custodial Wallets’. Custodial wallets are like a bank where you keep your money, and the bank takes care of it for you. Non-custodial wallets are like a safe where you keep your money, and you are in charge of taking care of it and making sure it’s safe.

Few key points to give somewhat of an overview of crypto wallets:

• A crypto wallet is a digital tool that allows users to store, send and receive cryptocurrency.
• A crypto wallet consists of two main components: a public address, which is used to receive cryptocurrency, and a private key, which is used to sign and authorize transactions.
• Crypto wallets can be software-based, hardware-based, or even paper-based, and they can support a variety of different cryptocurrencies.

We would recommend spending some time wrapping our heads around this topic as they’re going to be a major friction in our user’s journey. Few recommended reading lists:

Etherscan is a blockchain explorer and analytics platform for the Ethereum blockchain. It allows users to view and search the blockchain, track transactions and addresses, and view contract and network data.

Etherscan is often used by developers, researchers, and users of Ethereum-based applications to track and analyze the activity on the Ethereum blockchain.

Etherscan is one of the most important tools in the Ethereum ecosystem as drives transparency and accountability, it allows users to view and track all transactions, providing greater transparency and accountability for the network. This can help to build trust and confidence in the Ethereum ecosystem.

It also allows us to track and monitor our own transactions and addresses, as well as those of others, providing a valuable tool for identifying and preventing fraudulent activity. It can also help users to manage the security of their own wallets and assets.

Etherscan provides a user-friendly interface and easy-to-use tools that make it accessible to a wide range of users, including those with limited technical expertise. It can also be used as a learning and educational resource for those interested in Ethereum and blockchain technology.

It is worth looking deeper into if we as UXer can distill relevant insights from tools such as Etherscan to assist in blockchain education efforts.

Closing Thoughts

We are still early and have yet to see how mainstream adoption is going to play out and how might Web2 companies integrate blockchain in their user’s journey, It is a playground for the early adopters at this time.

We have little to no precedent to guide our design process, we are going to be at the forefront of innovation and discovery. It gives us the opportunity to explore new ideas, new design patterns, and concepts.

What is more exciting than watching our users having massive issues navigating a new interface filled with crypto jargon and we get to be in the front seat solving it?

It is entirely possible that the whole blockchain industry is going to be one massive failed experiment. However, being a part of a grand experiment that continuously pushes the boundaries of what is possible and contributes to the development of new tech that might have a lasting impact on the world is beyond exhilarating.

In the meantime, we will be dissecting more of Web2 bridging into Web3. Stay tuned!