Cryptocurrency payment gateways allow businesses to accept cryptocurrencies as a payment method. Customers now can exchange cryptos for goods & services they’re purchasing. Once adopted, these systems accept payments from across the globe & add value to security with the nature of blockchain.Add paragraph text here.
Problems in the Existing Crypto Payment Process
The first and foremost problem in cryptocurrency payment gateway solutions is Volatility. Volatility is the major factor that enforces risk on participants required to store and convert cryptocurrencies into fiat. The second is the user-friendlinessless for users to make payments via a currency that has dynamic value. Other drawbacks are scalability and transaction throughput. At last, fees and agreement times have crippled the acceptance of retail payments.
How does Cryptocurrency Payment Service Work?
A lot of crypto payment gateway solutions are available in the market for business owners to accept crypto payments. They contain solutions for various platforms, such as incorporation into e-commerce platforms, payment through in-store Point-Of-Sale (POS) systems, and direct payments with popular billing & accounting solutions. Specifically, anyone who transacts using bitcoin merchant services can start accepting bitcoin payments from customers through all kinds of transaction mediums from across the globe.
There are also solutions & openings for accepting donations in the form of cryptos. App developers can benefit from ready-made white label exchange functionality and code libraries in both Android & iOS platforms. This will further enable business owners to accept crypto payments through their applications & portals.
When a customer makes a purchase using cryptocurrencies as a mode of payment, the transaction usually undergoes through the payment gateway at a pre-defined exchange rate. Then it is automatically converted to traditionally recognized fiat currency. However, some cryptocurrency payment gateways do not automatically transfer the crypto to fiat currency, thus allowing the merchant to hold the digital coins as long as they wish and that too with the aid of a multi cryptocurrency wallet.
Cryptocurrency payment gateways are usually priced lower when compared to traditional credit card payment systems or bank transfers. Bitcoin is the most widely spread cryptocurrency that is used during transactions But there are also other gateways that provide the ability to pay with altcoins, such as Ether, Litecoin, and Bitcoin Cash. Cryptocurrency payment gateways can integrate with engaging e-commerce service platforms, POS systems, shopping cart software, billing & accounting solutions, and a lot more.
