March 12, 2021/CDMX

While those in the crypto sector remain confident that digital currency will become the currency of choice in the next decade, leaders in the traditional finance and banking sectors are not sold on the idea because of exorbinant transaction fees. Even as top global companies such as Amazon and Apple are looking to implement policies to pave the way for crypto to be used to make purchases on their platforms, skepticism remains widespread, and with good reason.

Finance industry heavy hitters such as Berkshire Hathaway’s vice chairman Charlie Munger have noted the volatility of Bitcoin as one of the primary factors that will prohibit the token from becoming a dominant form of global currency. As the most famous and most oft purchased and sold token, Bitcoin’s circulation volume ensures some level of stability compared to emerging tokens, which often have much smaller volumes that lead to greater instability.

This volatility in the market and transaction fees can scare off potential investors who may not be market savvy. While they may see an emerging token as an affordable option for purchasing a single token or multiple tokens, the risk may still be too high. This creates further volatility in that coin’s stock, as many tokens may never achieve a robust volume in circulation that stabilizes its value.

Tokens with larger volumes in circulation and lower prices can be attractive to investors. There is enough volume in circulation that the token can attract a significant pool of users interested in investing in the coin, even fractions of it. In the case of large volume store of value assets like Bitcoin, this seems to be a recipe for success. Many investors see the opportunity to invest in even small fractions of these currencies as an attractive option.

But alternatively, those new to the world of crypto may not have enough savvy yet to understand they can buy fractions of tokens and coins. This misunderstanding may deter prospective investors who see the financial gateways to invest in an asset like Bitcoin too steep for them to scale.

Other hinderances to many would-be investors and users are the fees associated with transactions on the blockchain. Various blockchain networks may charge fees at high as $6 to $150 per transaction—enough of a hit to the wallet that scares off some potential investors. And, higher transaction fees simply defeat cryptocurrencies use case of being a currency for purchases of products and services. It simply does not makes sense to pay a $10 transaction fee for a $10 product.

To achieve widespread global adoption and increase the likelihood of crypto becoming the currency of choice worldwide, token distributors and industry experts will need to overcome these hurdles and others.

One crypto-driven network, CMDX, is working to address some of these hurdles by making investing in crypto easier and more attractive to investors. CMDX, dubbed the Bitcoin of healthcare, is a healthcare cryptocurrency network that rewards its users for their healthy lifestyles with crypto. These rewards can then be used in any way the user wants, including exchanging for other tokens, making purchases where crypto is accepted, using them to purchase healthcare services and goods on CMDX’s marketplace or holding on to them as a store of value to offset the high cost of healthcare.

The CMDX team is currently working on a layer 2 zero-fee environment called CMDXero that will allow users to engage in e-commerce and peer to peer transactions off chain with ZERO fees while still being pegged to the price of the public CMDX token, making the use crypto more affordable to people across the globe.

“While there are several hurdles the crypto industry must overcome as it pushes to become the currency of choice across the globe, eliminating or significantly reducing transaction fees is the most important step the industry can take to further democratize crypto, making it more of a currency and a store of value,” said Tom McMurrain, CMDX CEO. “These fees can be a financial hurdle for some would-be investors, especially those in emerging countries. CMDX’s mission is to help people worldwide lead healthier and wealthier lives, especially those currently living in poverty. The CMDXero zero-fee environment would give these investors fewer barriers to overcome, helping them to maximize their investments and making it easier for them to enter the crypto economy.”

To learn more about CMDX, visit https://cmdx.io/.