The concept of digital money has quickly spread contrary to popular opinion when then the idea was first introduced. Now many people are more open to using digital currencies to pay for goods and services. To keep up with the growing use of digital currencies, businesses are making changes to create room for cryptocurrency payments.
Some companies, however, are still skeptical about adopting this mode of payment. Many refuse to add cryptocurrencies because they lack the knowledge of the technology, while a large number have different misconceptions about the technology. Here are a few reasons why one should add crypto to their payment options.
The decentralized nature of cryptocurrencies eliminates the need for intermediaries. By using cryptocurrencies, traders get to save up the money they would have to spend paying for services from third parties. In traditional markets, for every $100 you spend, $4 goes to credit card companies. According to records, as of 2017, merchants paid $90 billion to Visa and Master card in credit card swipe fees alone.
Crypto exchanges charge different payment rates. Most exchanges charge between 0.5% and 1%. Some, however, do not need to pay withdrawal fees while buying or selling crypto.
Bring new clientele
Using cryptocurrencies could help bring a bunch of new clients to your business. The more payment systems you have for your business, the better for you and the company. According to reports, millennials would rather pay for services and products with their crypto than use fiat currencies. Being a crypto-friendly business will give you that extra advantage over your competitors.
Join growing e-commerce
We live in a digital world where almost everything is based on one technology or the next. Given, so people have more inclined to order things online rather than spend house shopping at a retail shop or mall. Upgrading your business to the next level could be what is standing between you and huge profits. Currently, many companies are joining the ecommerce community, which is mostly using crypto for payments. By join the ecommerce community, you will not only expose your business to the online market but also reap the many benefits of the cryptocurrency market.
As a business owner, it is frustrating to wait for funds to become accessible in your bank account. It could take three to five working days or even longer when you have to wait over the weekend. This, however, changes with cryptocurrencies. In many cases, the transactions occur in real-time or within a few minutes.
Sensitive Data Protection
Certain businesses require sensitive data like name, address, phone number, financial information, credit score, and more from their clients during transactions. These businesses are at risk from attacks by hackers to seeking to get sensitive data only to sell it in the black-markets or to criminals. By accepting cryptocurrencies, you are assured of a higher level of privacy. When a transaction is made, almost anyone can know a transaction ID and the wallet address. Notably, for cryptocurrency payment processors, all that is required is a name and shipping address.
Since cryptocurrencies are based on Blockchain, which is a distributed ledger technology, all transactions made are permanent. This means they cannot be tampered with or deleted.
Using cryptocurrencies for payments will ensure you always have proper payment records. You will no longer have to worry whether or not employees are stealing from you. In addition, you will no longer worry about criminals stealing your hard-earned money from your shop.
Accepting payments through cryptocurrency will also help keep your information on the business and clients secure from hackers or unwanted third parties.
Give the inflation for fiat currencies across the globe; having an international currency comes in handy. Using cryptocurrencies will help your business avoid expensive foreign transaction fees or rates that come with global trade. Crypto payments will help you export or import from anywhere in the world at an affordable price.
Since all transactions are stored on, Blockchain, your company, or shop will be able to provide records whenever authorities come knocking at your doors quickly. It also helps you save time and money that would have been dedicated to combining all transactions and various documents needed for audits.
Prevent fraud or chargebacks
Businesses across the globe are in constant worry of loosing to fraudsters who keep developing new creative ways to steal from their companies. Paying using cryptocurrencies means either you have the money or you do not. This will prevent you from receiving a bad cheque or fake cash, among other fraudulent activities.
Importantly, you will be able to prevent chargebacks since once transactions have been confirmed, it cannot be revised. Chargebacks were created to avoid fraud, and yet they often accomplish the very opposite. In some way, they end up favoring the fraudulent client. Thanks to cryptocurrencies, your business will no longer lose money or good to such clients.
Save the environment
There have been numerous initiatives to save the environment. One way you can earn a lot of money while keeping Mother Nature is using cryptocurrencies for payment. Since cryptocurrencies are digital money, they eliminate the need for paper, thus saving on trees. Additionally, you will not need to record books. If every business took up crypto, imagine the number of trees we would eventually save!
Inevitable business practice
Much like the internet, Blockchain and cryptocurrencies are here to stay. As a business owner, taking up these new technologies at the early stage will give you enough time to learn and explore the different opportunities. It will also help you to make the transition and avoid the last-minute pressure slowly. Records show that the number of businesses using cryptocurrencies for payments has grown from 11,000 in 2017 to slightly over 13,000 by the end of 2019.
People have come to enjoy the ease that comes with making payments on the go. Using mobile phones to make payments is becoming an everyday thing. With the creation of mobile wallets, users can pay for goods no matter at any given time or place.