>Wouldn't the volatility of cryptocurrency be a reason that companies wouldn't want this as a primary method?

Correct. There are so many cryptocurrencies out there, and scams are so widely perpetrated that it's absolutely insane to keep any significant amount of money in it.

In the case of MTGOX it's like the world's largest bank just blinked out of existence. A company could be insolvent overnight. At least most major governments have incentive to keep their shit together for fear of a societal collapse.