Integrating crypto payments into your website is easier than you think and there are many advantages to accepting Bitcoin, Litecoin, XRP, Ether, and others over conventional payment methods. They include low fees, irreversible payments, micro-transactions, superior customer privacy, and more potential customers.
Bitcoin and other cryptocurrencies are becoming more popular by the day, and many business people are considering BTC as a mode of payment. The current high value of Bitcoin also makes it a worthy investment.
Currently, there exists a well-developed ecosystem that links businesses directly to their bank accounts. Nonetheless, connecting your business to the crypto sphere isn’t as difficult as some people think. There are several established gateways including MasterCard you can interrogate on ways to start accepting Bitcoin payments for businesses.
Benefits of accepting Bitcoin payments
Some of the benefits associated with accepting Bitcoin payments include:
- Privacy: Your customers can pay for goods and services without revealing their identities or sensitive information.
- Affordability: Bitcoin has lower transactions costs than most other online payment methods. The resultant lower operational cost leads to more profits for business people and lower prices for consumers.
- Reduced paperwork: Since it’s decentralized and doesn’t depend on a centralized authority, BTC is entirely web-based, meaning there is no regulatory procedure leading to less or no paperwork.
- Complete freedom: You can exchange the received Bitcoin to any currency you prefer, trade the cryptocurrency or hold it for the long term.
How to receive Bitcoin payments from customers
There are two different ways online merchants can integrate Bitcoin into their payment systems: both ways have distinct features and requirements.
1. Direct payments
If you choose this method, you won’t need to rely on any third parties. Since Bitcoin payments happen mainly on a peer-to-peer network, your customers can pay you directly into your wallet address. You need to generate a BTC address and allow customers to send you direct payments.
Even though this option seems convenient, it comes with a few shortcomings. First, you will have to handle billing and invoicing independently. Secondly, you will also need to deliver your wallet address manually to avoid the security risks associated with broadcasting it on your website. As such, direct payments are only recommended for merchants with small sales volumes.
2. Using Bitcoin Payment Processors
Thankfully, there are several crypto payment processors available in the crypto sphere today that can automatically handle Bitcoin payments on behalf of online merchants. Most of them can handle different types of cryptocurrencies, and those who want will easily convert payments into fiat currencies. Also, the leading Bitcoin payment processors double up as custodians, offering cryptocurrency storage and investment services.
If you run an online business and are interested in receiving Bitcoin payments, most of these platforms will handle the mechanics of integrating your business into the world of cryptocurrencies. It also doesn’t matter that your website doesn’t yet support e-commerce, you only need to select a reputable payment processor, and they’ll link you up to their in-built processors.
The best thing about choosing cryptocurrency payment processors is that they also provide invoicing and billing services. What’s more, they could also help you generate more value from the Bitcoin they receive on your behalf through trading or HODLing for a fee.
Online merchants can choose between receiving Bitcoin payments directly from their online customers or through Bitcoin payment processors. Nonetheless, receiving crypto payments is one of the easiest ways to increase your customer base since more and more people are choosing Bitcoin to pay for items and services in physical and online stores.