Do you know what the low touch economy is? Generally speaking, it is the new state of society and economy, permanently altered by the Covid-19 pandemic. And it is characterized by low contact interactions, health and safety measures, new human behaviors and permanent changes in the industry. Businesses that understand this new economy will already come out ahead of others, according to a study published by the Board of Innovation. And how do cryptoassets fit into this low touch economy?
Much of this new economy is already being part of our lives, as proven by the flood of lives of outstanding artists being broadcast on Youtube. In addition, of course, the home office has been incorporated into many families, as well as home schooling. And virtually every business meeting is being done by video calls.
Therefore, new businesses will have to adapt to this scenario. A low touch business will be based on low-contact interactions between customers and employees; necessary actions in the face of travel restrictions and hygiene measures; access limits for vulnerable groups; flexibility to pass through the waves of confinement; ability to create high impact with advanced innovations and business models.
Cryptoassets will benefit from low touch economy
One of the conclusions of the study is the accelerated adoption of new technologies. This movement, which has been increasing over the last few years, should gain more momentum from now on. With the pandemic, in a period of two to three months the world has adopted a series of new habits. This has led to several products benefiting from a larger customer base. For example: people who had never bought in e-commerce became regular customers. Telemedicine has also become a reality.
In this scenario, cryptoassets can be one of these accelerated adoption technologies in the long run. As traditional digital payments consolidate among people who did not use them, the space for the adoption of cryptocurrencies, whether for payments or investments, should be expanded to a greater extent. And this technology is in line with low touch economy trends.
Transfero recently launched an investment thesis that includes cryptoassets in this new normal scenario caused by the pandemic.