Why Accept Cryptocurrency In Your Business?
One of your primary roles as a business owner is to provide various payment methods for your customers and clients. That includes the newest payment methods such as cryptocurrency. Actually, several major companies such as Microsoft and New York City schools are already accepting them as tuition payment. And within the last few years, one of the popular cryptocurrencies (Bitcoin) has grown by over 900%. Most small businesses including restaurants and coffee shops are also accepting cryptocurrency as valid payment. Possibly, that is because cryptocurrencies are here to stay and might be the future of payments.
Here are some of the reasons you should start accepting cryptocurrency as a form of payment in your business or nonprofit:
Lower transaction fees
Cryptocurrency transaction fees per every transaction are less than debit cards and credit cards transaction fees. With debit and credit cards, you will be looking at almost 3% transaction fees in addition to several hidden fees. Meanwhile with a cryptocurrency such as Bitcoin and Blockchain, merchants can reduce the transaction fee to less than 1%.
Faster money transfer
When accepting debit and credit card payments, you might not see the money in your bank account for some days or even weeks. That is because the transaction involves several parties that have different rules. That can be frustrating particularly when you require the cash to pay your bills or to pay your employees. However, the best news is that cryptocurrency eliminates the problem. In other words, you can have faster access to your cash, which is necessary in the operations of your business.
Easier International payments
International money transaction fees and currency exchange rates are a big nightmare for most businesses – that is why many businesses have not gone global. Furthermore, the costs can be very high at times. Even though some financial intermediaries like PayPal are trying to alleviate the problem, you are still looking at nearly 4% fee to accept a foreign payment. However, cryptocurrencies have come to the rescue. Cryptocurrencies like Bitcoin are already international and they therefore remove all barriers associated with international money transfer. With the form of currency, merchants can expand beyond their borders without worrying about the expensive consequences. You will not incur the 4% fee because you will send $0.
Acquire more new customers
The number of die-hard cryptocurrency fans is always increasing. Having a large number of customers already familiar with cryptocurreny is a huge benefit to your business. Such customers are always be looking for small businesses that accept digital currencies. In fact, that is a niche market. And the more payment options you offer, the more customers you are likely to get – that is a general rule of thumb. Studies show that nearly 28% of all abandoned carts are a result of the customer lacking the payment option he/she prefers to use.
More security and privacy for your customers
A study that Statista conducted showed that around 17% of the abandoned shopping carts have to do with payment security concerns. Another 18% of the abandoned carts have to do with many payment security checks. With cryptocurrency, customers do not share any personal financial information because they rely on send-only protocols. In other words, identity theft and counterfeiting are minimal because there are no numbers for hackers to steal.
With the form of payment, customers and clients do not need to provide any personal financial information. That is in a similar way PayPal works as a third party between the merchant and consumer. The only difference is that the third party receives and sends cryptocurrency such as Bitcoin. The added layer of protection will provide you with the peace of mind you need.
Cryptocurrency into Your Business
Have any questions about cryptocurrencies?
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