Merchant and platform use of cryptocurrency payment gateway solutions is growing. Cryptocurrency has evolved beyond its original use case as a store of value. It’s gaining traction as a payment option. Because of this, businesses are on the lookout for reliable crypto merchant services that will allow them to start taking cryptocurrency payments.
A major benefit of cryptocurrency payments is that they bypass centralized intermediaries like banks and clearing institutions. Bitcoin-accepting businesses are aware of this. Therefore, you may be able to save costs by being compensated in cryptocurrency. The capacity to accept and pay using cryptocurrencies, however, is distinct from the handling of fiat cash.
Because of this, you’ll need some forethought if you want to include bitcoin acceptance in your company. Specifically, you need to identify which crypto merchant services support your desired currencies, and then accept those currencies as payment.
Features That Should Be Included in Any Reliable Crypto Payment Solution
There have been several blockchains created since the first cryptocurrency was introduced many years ago. Most people are probably familiar with Bitcoin and Etherium. Polygon, Avalanche, and Fantom are just a few examples of many more.
What features should crypto merchant services have:
- Risks
It is the responsibility of each retailer to choose which coins it must be compatible with. Many still see cryptocurrency as a volatile and hazardous investment. Some currencies (namely stablecoins) are more secure than others against sudden rate changes. For the simple fact that stablecoin prices are set according to the value of the US dollar.
While stablecoins are, indeed, stable in terms of rate, not every blockchain will enable activities with them. Unlike Bitcoin, which now only enables Bitcoin transactions, the Ethereum network really does support several stablecoins. By the way, if you need a BTC payment gateway, contact BitHide.
- Finance Charges
In the cryptocurrency realm, gas costs serve as analogues to the transaction fees charged by major credit card companies. Here, blockchains serve as the infrastructure behind cryptocurrency transactions. Due to the exorbitant gas costs associated with using certain cryptocurrencies (like Ethereum), processing small-value crypto transactions is often impractical.
The cost of using gas is much less on other blockchains like BSC and Avalanche. But there are additional issues that may arise if you decide to use a blockchain besides Ethereum. Let’s check them out.
Need a crypto payment?
Most bitcoin adoption challenges come from converting digital money into fiat cash due to the uncontrolled crypto payment industry. If you wish to accept cryptocurrencies, you’ll need to choose the currencies and the finest blockchains for each.
A controlled exchange (CEX) or cryptocurrency card may swap digital money for fiat cash. Using a cryptocurrency card converts a tiny amount of your assets to fiat cash. A cryptocurrency exchange (CEX) wallet is needed to store and access digital money.
The exchange will only handle blockchain-specific currency transactions. This coin pays blockchain fees. Ether for Ethereum, AVAX for Avalanche, and so forth.
Ethereum allows exchange-based stablecoin withdrawals and deposits. Its high fuel costs limit its usage to large purchases.
Stablecoins are more secure than other currencies, but depositing and withdrawing them is difficult. Only if stablecoins can be used as payment methods without conversion to fiat will the situation improve.
