Every day we move closer and closer towards a totally digital ecosystem. Cryptocurrency is infiltrating the mainstream and online retailers are being forced to keep up. Hand-in-hand with this is the burgeoning cryptocurrency payments sector.
There is no doubt that they provide unparalleled benefits to both consumers and merchants. The topic of digital currency is hot and their full potential is being embraced. Some jurisdictions have announced legislation in favor of the industry and others will follow suit.
Bitcoin and other crypto ATMs are popping up in countries across the world, and savvy online retailers and even online casino operators are offering payments in crypto. But why, as a business owner, should you consider integrating crypto payments into your website?
Low transaction fees
In 2017, merchants paid over $90 billion just to Visa and Mastercard, in credit card fees. This is an astounding amount of money. While merchants are often able to negotiate preferential rates, a huge chunk of income is lost on paying fees to the service providers. This isn’t the case with cryptocurrency payments. Some of the top crypto payment gateways charge as little as 0.5% which is significantly less than fiat competitors. By putting a chunk of your revenue through crypto, you can save a fortune on processing fees.
Banks hold a lot of data on their clients; name, address, phone number, credit score, and what they are spending their money on. Virtual currencies, however, offer clients more privacy and anonymity. Transaction data is limited to certain numbers and when a transaction takes place, only the wallet address and transaction ID are public.
Cryptocurrency payments are based on the blockchain which is a decentralized digital ledger. It is totally immutable and every transaction made on it is permanent and cannot be changed. This means that chances of fraud, counterfeit, and identity theft, are significantly less than with other payment types. Likewise, the blockchain cannot be hacked because it is decentralized and distributed over a potentially infinite amount of nodes. Crypto transactions are secure and give the user more control.
Instant and borderless transactions
If you have clients all over the world, crypto is great as it allows instant cross-border transactions. With cryptocurrency, you don’t need to wait for a payment to be processed, nor do you have to pay international fees. Anyone with the internet can send a transfer whenever they want, to whoever they want and the transaction is completed in moments. They can also be executed by those that don’t have a bank account, making online purchasing more accessible.
Businesses bear a lot of losses from chargebacks. This is where a customer makes a card payment, receives the item, and then reports the charge as fraudulent to get it refunded. There is zero risk of this with cryptocurrency payments. Once they’ve been registered on the blockchain, they can’t be edited or reversed. That means there’s no way a chargeback can be given without the consent of the company, i.e. you.
Fast Offshore has spent 22 years nurturing relationships with online payment providers. As cryptocurrency has surged in popularity, we have become advocates for its potential. In recent years, we’ve had numerous clients who have integrated crypto payments on their websites and are enjoying the benefits of crypto payments. Online casinos, eSports, retail shops, and professional services- all will benefit from enabling cryptocurrency payments. To find out more about setting this up for your business, contact us today!