The world is undeniably shifting toward a digital ecosystem. Cryptocurrencies are a promising addition to that ecosystem, providing consumers and merchants with unrivaled benefits.
Even non-technologists have heard of terms like Bitcoin or blockchain. While many people are unfamiliar with blockchain technology, Bitcoin, Ethereum, and Litecoin have already become household names.
The growing popularity of cryptocurrencies should not be the only reason to begin accepting them. BaseLynk discusses some of the reasons why businesses should accept cryptocurrency payments in this article.
Bitcoin and other cryptocurrencies are built on the blockchain, which is a distributed, decentralized digital ledger. The transactions are irreversible. They cannot be changed or removed. As a result, the likelihood of fraud is greatly reduced. Depending on the payment processors you select for your company, they may provide additional security measures such as KYC/AML or blockchain monitoring services.
Even if there are no additional features, the core concept of blockchain and cryptocurrencies will give you and your customers some peace of mind when receiving and making payments. Accepting cryptocurrency payments, in our opinion, is another step toward building trust.
One of the distinguishing features of cryptocurrency payments is anonymity. As a result, by allowing users to pay for your services or products with a popular cryptocurrency, you are also granting them the ability to remain anonymous. When you do this, it shows that you have high regard for your customers’ privacy. Depending on the payment processor, you may still be required to complete KYC and provide your information. Payment processors, on the other hand, typically require less data than traditional banks.
In the same way that the blockchain ensures the validity of each transaction, it employs cutting-edge technology to encrypt sensitive information during each transaction. You are not required to make any sacrifices in exchange for this additional line of privacy.
#3 Transaction Fees
Crypto payments can potentially provide you with some of the lowest transaction fees, depending on the payment gateway and compatible cryptocurrency you choose. If you sell high-value, high-volume products, you may be paying a lot of money to your traditional banks and payment gateways.
As a result, in terms of profitability, accepting Bitcoin and other cryptocurrencies may save you money on transaction fees.
#4 No Chargebacks
Businesses must bear significant losses as a result of chargebacks. A chargeback is a charge that is returned after a customer successfully disputes an item on their account statement or transactions report. It is occasionally used in a one-way scam in which the customer receives free goods and services in exchange for reporting fraudulent charges against the business to their credit card company. While fighting those charges is not impossible, it takes a significant amount of time and effort for the company to finally decide to accept the loss.
Crypto payments, on the other hand, can be useful in this situation as well. The transactions that take place are irreversible. They are recorded on a public ledger that is unchangeable. As a result, by accepting cryptocurrency payments, businesses can avoid potential fraudulent chargebacks.
The decentralized structure of blockchain is what distinguishes it. The transaction recorded on the public ledger is not owned by a single entity. Both the sender and the receiver of the payment can access the transaction’s relevant information and verify when and how a crypto transfer was processed.
Furthermore, because the data is distributed across a network of nodes, it is less vulnerable to corruption or unauthorized medications. It also eliminates the need for a middleman or intermediary to transfer information between senders and receivers.
When compared to any other payment system on the planet, crypto payments give you more control over your money. There are no commissions or technical maintenance fees to worry about. Once you’ve created your crypto wallet and set up your payment system, all transactions will be directed to that wallet.
As you may have noticed, the cryptocurrency ecosystem is experiencing unprecedented growth. As a result, the mainstream acceptance of cryptocurrencies as a valid form of payment is unavoidable.
Bitcoin is accepted as a payment method by thousands of businesses worldwide. Payment processors such as PayPal have begun to accept some of the major cryptocurrencies as payment, allowing millions of merchants to conduct business with ease.
Unlike in the past, you do not need to be a tech expert to begin accepting cryptocurrency payments at your business.
Do you think these reasons are compelling enough to convince you to accept cryptocurrency payments? We believe they are, but please share your thoughts below in the comments.