Digital assets are booming! 40% of businesses in the US have accepted cryptocurrencies, and 84% are optimistic about becoming mainstream.

PayPal and the U.S. National Cryptocurrency Association survey show that 39% of American merchants have accepted digital asset payments, and 84% predict they will become mainstream within five years. Among merchants already adopting, cryptocurrencies account for 26% of sales, with 72% reporting annual growth. Millennials (77%) and Generation Z (73%) are leading demand, with the hospitality and travel industry (81%) at the forefront. Ninety percent of merchants say they would adopt if it were as convenient as credit cards.

Customer Demand Accelerates Digital Asset Commercialization

Nearly nine out of ten (88%) U.S. merchants say they have received customer inquiries about using digital assets for payments, revealing a strong consumer interest in cryptocurrency payment methods. Even more noteworthy, over two-thirds (69%) of merchants report that customers want to use digital assets at least once a month, indicating that cryptocurrency has shifted from a speculative tool to a practical payment option.

Eighty percent (79%) of merchants believe accepting digital asset payments helps attract new customers, highlighting the dual value of cryptocurrency as a growth lever for businesses. For merchants already accepting digital assets, market demand is clear. PayPal Cryptocurrency Vice President and General Manager May Zabaneh said, “We see from data and customer interactions that crypto payments are moving from experimental to everyday business. Customer demand for faster, more flexible payment options is driving digital asset adoption. Once merchants start accepting cryptocurrencies, they can see real value.”

This consumer-driven adoption model is very different from the traditional promotion of payment technologies. In the past, credit cards or mobile payments were mainly driven by financial institutions and tech companies through infrastructure investments and merchant incentives. But with digital assets, consumers are proactively demanding this option, creating a bottom-up market push. This demand-driven approach results in faster and more sustained adoption because merchants accept digital assets to meet existing customer needs rather than betting on future trends.

Large Enterprises Lead, Small and Medium Businesses Follow Rapidly

The survey shows that digital asset adoption is no longer limited to early adopters or tech startups. Large companies with annual revenues over $500 million have the highest adoption rate, with 50% accepting cryptocurrency payments, compared to 34% and 32% for small and medium-sized businesses, respectively. This pattern indicates that larger firms, with more technical resources and flexible payment infrastructure, can integrate emerging payment methods more quickly.

Among merchants currently accepting digital assets, cryptocurrencies account for over a quarter (26%) of total sales, far exceeding expectations. This suggests that for these merchants, digital assets are no longer fringe payment options but significant revenue sources. Even more surprising, about three-quarters (72%) of merchants accepting crypto payments report increased digital asset sales over the past year, showing that once implemented, crypto payments can quickly gain consumer favor.

Nikisha Bailey, co-founder of Win Win Coffee, shared a small business perspective: “At Win Win Coffee, we focus on meeting customer needs and making interactions with our brand as simple as possible. As payment methods evolve, it’s crucial for small businesses to explore new payment tools in a natural, convenient way that fits their existing operations. Flexible payment options help ensure independent businesses can grow alongside their customers, rather than fall behind.”

Four Core Advantages of Digital Assets for Merchants

(Source: PayPal)

Faster Transactions (45%): Blockchain settlement eliminates intermediaries, significantly reducing payment confirmation times

Acquire and Attract New Customers (45%): Crypto holders become a new customer segment

Enhanced Security Features (41%): Encryption technology and decentralized architecture reduce fraud risk

Greater Customer Privacy (40%): No need to disclose sensitive banking information

Millennials and Gen Z Lead the Digital Asset Payment Revolution

(Source: PayPal)

Younger consumers are reshaping the payment landscape. Merchants report that the groups most interested in digital asset payments are Millennials (77%) and Generation Z and younger (73%). These two generations grew up as digital natives and are far more receptive to emerging payment technologies than Generation X (28%) and Baby Boomers (4%). This generational gap reflects differences not only in technological familiarity but also in values around financial sovereignty and privacy.

Notably, small businesses (82%) are especially favored by Generation Z compared to medium (67%) and large enterprises (65%). This preference may stem from small businesses’ agility in adopting payment innovations and Z generation’s affinity for independent brands and personalized experiences. For small merchants, accepting digital asset payments is not just a technological upgrade but a strategic tool for brand differentiation and attracting young customers.

Some industries are leading the trend toward digital asset adoption. Hospitality and travel (81%) top the list, reflecting the industry’s global nature and demand for cross-border payment convenience. Digital goods, gaming, luxury, and specialty retail (76%) follow closely, with customer bases that overlap heavily with crypto holders. Retail and e-commerce (69%) are also seeing significant adoption, driven by speed, global reach, and digital-native customers.

The Last Mile: Simplification Is Key Barrier

This trend is expected to accelerate, with over four-fifths (84%) of merchants believing digital asset payments will become widespread within five years. However, despite strong market interest and clear demand, ease of use remains a critical obstacle. The vast majority (90%) of merchants say they would try accepting crypto if the experience were as convenient as traditional credit card payments; 90% also say that if setting up digital assets were as simple as accepting credit cards, they would likely adopt.

This 90% figure reveals the core contradiction in digital asset commercialization: demand exists, and technology is mature, but user experience complexity still hampers large-scale adoption. Currently, most crypto payment solutions require merchants to understand wallet addresses, private key management, blockchain confirmations, and other technical details—creating psychological and operational barriers for small businesses without technical backgrounds.

Stu Alderoty, President of the U.S. National Cryptocurrency Association, said, “This data clearly shows that interest in crypto is not the problem; understanding is. Too many people still don’t grasp how digital assets can fit into their daily lives. That’s why partnerships with trusted platforms like PayPal are so important. We are working together to bridge the knowledge gap and show how crypto can be simple and accessible, making it easy for ordinary businesses and consumers alike.”

The key to solutions is abstracting technical complexity. Just as consumers don’t need to understand Visa’s network architecture when using a credit card, merchants shouldn’t need to be blockchain experts to accept digital assets. Mainstream payment platforms like PayPal are offering “one-click integration” solutions that seamlessly embed crypto payments into existing checkout systems, automatically handle currency conversions and compliance, enabling merchants to accept digital assets as easily as any other payment method.