As much as cryptocurrency is a valuable investment tool, it is also a means of payment and as time goes on, it is becoming more normalized as an everyday legal tender for many people as more merchants around the world are accepting currency in exchange for goods and services and so on. While institutional attention is being given to cryptocurrency a lot more these days, its next phase of maturity will obviously involve its use on a domestic scale and there are signs of this is already taking place with prominent businesses such as AT&T and so on allowing payments in crypto.
On November 11, 2019, which is singles day, one of the largest shopping events in China, e-commerce giant Alibaba announced that they have partnered with rewards app Lolli to reward customers back in bitcoins for shopping on the platform.
According to the announcement, customers are going to be given 5 percent back on their spending in the form of Satoshis, the smallest unit of bitcoin when shopping on Alibaba. It should also be noted that this announcement was made on singles day, which is the largest single shopping event in China and it is estimated that consumers spent roughly $31 billion on singles day in 2018 and that figure is expected to go up with time.
This partnership is a very exciting one because according to Alex Adelman, the CEO of Lolli, Alibaba is the largest commercial retailer in the world and this partnership could mean a lot for not just consumers were for crypto as well.
“Our partnership allows our users to earn free bitcoin on millions of products online every day. Arguably the most important piece of this partnership is that it supports our mission of connecting the entire world through commerce,” he said.
For now, this offer will only be available to those for making purchases from the US and the goods will be shipped from China to the states. Unfortunately, Chinese residents will not be able to partake in this initiative for now. However, Edelman stated that they have plans to expand upon this reward system in 2020 and that this could be a good way to link the United States and China commercially.