Adoption of financial transactions with blockchain and cryptocurrency in uae – utaut2 perspective

Abstract

inancial inclusion plays a vital role in enabling people to transfer money because it allows access to the financial infrastructure. Blockchain and cryptocurrencies have the potential to contribute to improving global financial adoption. The UAE counts as one of the most significant corridors for remittances to other developing countries and has one of the lowest rates of cryptocurrency adoption. This research examines customer behaviour and usage towards transactions involving cryptocurrency transfers supported by blockchain technology in the context of UAE remittance services. The online questionnaire, based on constructs from UTAUT2 and IDP theories and tested among five cryptocurrency experts, collected 270 responses in a snowball approach. Performance Expectations (PE), Price Value (PV), Hedonic Motivation (HM), and Consumer Innovativeness (CI) were the strongest predictors of Behavioural Intention (BI), in that order, for the achieved sample. Surprisingly, BI does not serve as a reliable indicator of actual usage. Cryptocurrency usage (CU) is most reliably predicted by Facilitating Conditions (FC), suggesting that adoption may be boosted by implementing appropriate mechanisms and procedures to direct users. This research adds to the body of knowledge by examining the acceptance and implementation of cryptocurrencies in the UAE and by developing and evaluating new constructs based on current notions. The study also contributes to the current understanding of cryptocurrencies and blockchain adoption. The conclusions of the research give advice for marketers on how to boost the commercialization of cryptocurrencies in the UAE remittance market and may pave the way for other studies to assist impending developments in the UAE cryptocurrency industry. This research offers novel insights on CI as a significant predictor of cryptocurrency product uptake in the remittance business.

Keywords Cryptocurrencies, Blockchain, Remittances, Innovation, Financial inclusion, United Arab Emirates.