USE OF CRYPTOCURRENCIES IN ELECTRONIC COMMERCE

Abstract

The article examines the role of cryptocurrencies in developing electronic commerce and transforming modern payment infrastructure within the digital economy. Particular attention is paid to the economic nature of cryptocurrencies as innovative financial instruments and their increasing use in online commercial transactions. The study analyzes the key features of applying digital currencies in e-commerce, including decentralization, transaction transparency, the high speed of cross-border payments, and reduced dependence on traditional financial intermediaries. The advantages of cryptocurrency payments over conventional systems are identified, such as lower transaction costs, enhanced security through blockchain technology, and expanded international market access for businesses and consumers. Conversely, the article outlines the main challenges and risks limiting the widespread adoption of cryptocurrencies in electronic commerce. These encompass significant price volatility, technical and infrastructural barriers, cybersecurity threats, and the absence of unified legal regulation across many jurisdictions. Special attention is devoted to analyzing the practical experience of leading international companies–including Amazon, Shopify, PayPal, Microsoft, Expedia, and Rakuten–that have implemented or tested cryptocurrency payment solutions. Results demonstrate that these practices improve payment efficiency, accelerate international settlements, reduce commission fees, and increase overall transaction security. The study concludes that integrating cryptocurrencies into e-commerce represents a natural evolutionary stage of the digital economy. Ultimately, cryptocurrencies possess substantial potential to strengthen electronic commerce and support its ongoing development.