Abstract:
State-of-the-art technology has changed virtually every aspect of
global operations, prompting individuals to switch to a
contemporary platform rather than traditional business processes.
The evolution of payment methods has shifted more towards virtual
payments than ever before, and the global spread of
cryptocurrency adoption is remarkable. This study aimed to analyze
the influencing factors and degree of readiness of SMEs to
embrace cryptocurrency as a form of payment, with a particular
focus on SMEs in Sri Lanka. The study employed a quantitative
survey approach and gathered 240 responses from SMEs
registered with the Chamber of Commerce and the Ministry of
Industries in Sri Lanka. A self-administered questionnaire method
was used to collect primary data, which were then analyzed using
descriptive and inferential statistics. According to the findings,
respondents were enthusiastic about using cryptocurrencies as a
payment method. The study revealed that the SME sector in Sri
Lanka is a breeding ground for new payment technologies,
particularly among male-owned service-sector SMEs. This study
further revealed that social influence and Trust go hand in hand,
and that Trust has a significant impact on the adoption of
cryptocurrencies, particularly in contexts where distrust in SMEs is
a greater challenge and perceptions of the rule of law are
strongest. The findings implied that transaction openness and more
accessible information on the opaque legal issues around
cryptocurrencies, particularly the distinct roles of the many
regulatory authorities and platform security, should be reinforced.
Regular security audits, disclosing vulnerabilities and solutions, and
responding to users' complaints and inquiries must all be managed
in a well-organized manner within the unorganized sector.
