Online payments have been quite important for businesses that operate through websites. This revolution started with card payments and traditional bank transfers. Then the world saw the crypto payment method. Nowadays, cryptocurrency is seen as an essential payment option.
Cryptocurrency payments bring many changes to online businesses. And all these changes are practical and measurable. If you accept crypto payments, you can easily witness all these changes. Let’s discuss them in detail.
Noticeable Changes After Accepting Crypto Payments
Up to 40% Hike in Consumers
A study shows that cryptocurrency payments can increase a business’s customers by up to 40%. Also, around 56% of consumers are more likely to choose businesses that accept crypto payments. Apart from that, there are some other reasons from the consumers’ perspective:
- Cross-Border Solution: Cryptocurrencies are borderless. Anyone with a valid wallet can transfer crypto to another valid wallet of the same currency.
- No Currency Conversion Tax: Cryptocurrencies are free from currency conversion taxes, making them ideal for cross-border transactions.
- Fast and Anonymous Transactions: Customers can pay quickly without revealing their identity.
A wide usability and popularity among the younger generation have made crypto a reliable payment option. Since more individuals are owning crypto assets, many businesses have witnessed a significant increase in the number of consumers through crypto payments.
Faster Control Over Funds
Crypto transactions are considered faster than traditional bank transfers. They take a few minutes to confirm, while traditional payments may take some days, especially when they are large-volume and cross-border. So, you can receive the payment quickly and proceed with the order.
Also, if you are using our crypto payment gateway, you can get near-instant fund settlements. Unlike traditional platforms, we don’t hold your funds for a long time. We automatically release funds every 30 minutes to give you quick control over your funds.
To sum it up, payments are confirmed faster, and many cryptocurrency payment gateways also quickly settle funds. So, you can receive your crypto funds quickly and manage business operations smoothly.
Up to 90% Reduction in Transaction Costs
Transaction fees have always been an issue in traditional payments. When it comes to cross-border payments, participants have to pay currency conversion taxes, which increase a business’s costs.
Cryptocurrencies are free from such taxes. Also, transaction fees are quite low. Where the average traditional transaction fee ranges between 3% to 5%, the crypto transaction fee ranges between 0.5% to 1%. This can reduce your transaction costs by up to 90%. Apart from that, choosing a crypto payment processor with the lowest processing fees lets you save more.
In short, businesses that accept payment in crypto see a noticeable reduction in transaction costs. This change also reflects in their profits.
Reduced Fraud Chargeback Risks
A chargeback happens when a customer requests a refund. However, chargebacks made after successful purchases are considered fraud. Businesses that deal in traditional payments sometimes face chargeback fraud. In such cases, they have to compromise both funds and products.
Since cryptocurrency transactions are irreversible, customers cannot request chargebacks. For refunds, business owners must review the request and issue the refund manually. So, businesses witness a sharp decline in fraud chargebacks after they start accepting cryptocurrency payments.
Things to Remember for a Good Crypto Payment Experience
- Choice of a Crypto Payment Gateway: The platform you choose to accept crypto payments must be secure, affordable, and user-friendly. So, you can get started quickly, spend less on transaction costs, and be safe from potential cyberattacks.
- Pay the Lowest Platform Fee: Choose a platform with the lowest processing fee to earn sizeable profits with competitive prices.
- Accounting: You must keep a record of all your business crypto transactions that match your wallet’s transaction history.
- Security: Try to secure your account and wallet using all the security features provided by your primary cryptocurrency payment gateway.
- Marketing: Let the world know your business accepts crypto payments through various marketing channels. As more consumers know about the newly added crypto payment options, more of them can wishlist your business for further shopping.
Conclusion
Cryptocurrency payments have been revolutionary for online businesses. Those who have started accepting cryptocurrency payments can see changes, including an increase in consumers, faster settlements, reduced chargeback fraud, and a reduction in transaction costs. However, you have to remember a few things to accurately witness these changes.