Accepting Bitcoin As Payment
If you shop online, you’ve probably noticed an increase in stores advertising the acceptance of cryptocurrencies such as Bitcoin, Ethereum, and Litecoin. If you’re not familiar with cryptocurrencies, you’ll likely gloss over it, but might there be an opportunity for your business to process this new payment?
How it Works
There are two ways to process cryptocurrencies through a gateway; the first is to accept Bitcoin and keep the cryptocurrency in a digital wallet. The second is to accept cryptocurrency and enable automatic conversion to dollars at the point of sale. Most smaller operations choose the former, and most enterprise-level organizations choose the latter, with some exceptions.
Methods of accepting cryptocurrency include specially programmed payment terminals, mobile payment applications, invoices, commerce plugins, and virtual payment gateways.
One key benefit to cryptocurrencies as that all transactions are final. It’s rare to see refunds and chargebacks are typically impossible. There is no consumer credit card fraud in the cryptocurrency world.
Why Consumers Want To Spend Their Cryptocurrencies
With over 40 million cryptocurrency wallets held worldwide, billions of dollars in daily transactions are already occurring in trades and commerce. While most people initially thought of Bitcoin and other cryptocurrencies as an alternative investment, they hold several unique benefits when compared to credit cards.
Most critically, consumers are aware that corporate or government interests track everything they do. Cryptocurrency provides more consumer privacy than credit cards. Imagine buying something you’d rather keep secret, like hair regrowth products. Wouldn’t you prefer to inform as few people as possible about such a purchase?
2. Debt-Free Purchases
With U.S. household debt collectively reaching $14 trillion, consumers are looking for more debt-free ways to purchase. Cryptocurrencies allow you to purchase with only the value of your wallet and not overextend into high-interest debt.
3. Cryptocurrency Value
While we aren’t financial analysts, it is possible that making Bitcoin and other cryptocurrencies more liquid will raise their utility and value.
The risk and underwriting practices of cryptocurrency processors are very different than their credit card counterparts. Since there are no chargebacks, there are very few industries brand from accepting cryptocurrency. Most federally legal businesses in the United States will be approved for service in short order.
IdealCost Is Now Offering Cryptocurrency Payment Advisory Services
With cryptocurrency processing on the rise, many of our clients have asked us if the service is right for them, along with potential advantages and disadvantages. IdealCost is proud to offer advice about the nuances of these platforms and whether or not it might be a fit. Contact Us for a consultation on accepting Bitcoin and other cryptocurrencies today.
Since 2009, IdealCost.com has helped hundreds of companies nationwide reduce their merchant account fees through identifying and fixing hidden profit, overcharges, fake fees, and billing errors. Clients have saved $300-$20,000 per month on their credit card processing fees without going through the hassle of changing their processing vendor, bank or equipment. Switching credit card processors should be a last resort, only reserved for funding delays, poor customer service or technical difficulties. Before you consider switching credit card processors, see if you qualify for IdealCost.com’s monthly savings program be uploading your most recent merchant statement for a free analysis. You’ll receive an estimate within 24 business hours.
If you are opening a new credit card processing account or must switch credit card processors due to funding delays, technical issues or customer service problems feel free to contact us for a free consultation. IdealCost.com can help secure the best terms and fees based on your specific needs.