Business Niches Where Cryptocurrencies Are Accepted for All Payments
Drishti Bhagat Apr 23, 2021 09:00
Digital currency is becoming more well-known because it’s been around for a decade or so. In the past, it was only die-hard investors who chose to work with crypto like Bitcoin. However, more and more companies are accepting it as payment for services and goods.
Digital currency is becoming more well-known because it’s been around for a decade or so. In the past, it was only die-hard investors who chose to work with crypto like Bitcoin. However, more and more companies are accepting it as payment for services and goods.
Why is that?
We think it’s because these businesses were worried about the fad fading away. Since it’s still alive and kicking, they don’t have to worry as much about getting burned. In fact, some companies are now creating their own crypto coins to exchange on similar crypto trading solutions.
Though some companies (and business niches) do accept crypto for payments, there may be limited options, such as Ethereum and Bitcoin only.
eCommerce Stores
For the most part, eCommerce stores are taking Bitcoin and other cryptocurrencies as payment. If it’s online, you can probably pay for it with crypto.
However, most companies go a step further. For one, if you sell goods on an eCommerce store, you want to make sure that you’re getting the full amount. That means you may have to do number crunching to make sure that the fiat currency is doing as well or better than Bitcoin. This way, when you go to exchange the currency into your preferred one, you aren’t losing money.
Most eCommerce stores offer integrations to help you figure out currency exchanges. However, they may not be advanced enough to handle crypto.
Online Retailers of All Kinds
While it’s not to say that online retailers don’t like change, many of them haven’t gotten on the Bitcoin bandwagon yet. There’s nothing wrong with that, but many retailers (with physical stores) now allow crypto payments online. Places like Subway and Starbucks are at the forefront here, but many clothing stores now offer crypto payments.
Third-party Payment Companies
Do you have a PayPal account? Most people do, especially if they regularly send money out of the country. With PayPal, you can do so much, and now it’s possible to link your crypto wallet and use that digital money to pay for items and services.
It’s called a third-party payment company because it facilitates payments between the person and the business and has the largest money transfer system in the world.
Though its jump into Bitcoin was recent (2020), it announced that US users can sell, buy, and hold a couple of currencies in their accounts in 2021. It’s also possible to track the crypto in the PayPal app.
Venmo is also set to offer this service and cryptocurrency is going to be recognized as a top funding source for any purchases made.
The way it works is that Bitcoin is considered a valid currency and can be used with over 26 million merchants through these third-party conglomerates. Bitcoin is then converted into fiat currency to make the transaction. If you’ve got tons of Bitcoins lying about, this may be the best way to offload them.
Some Restaurants
Many restaurants are actually jumping on the Bitcoin bandwagon, which is surprising. Who knew you could buy a hamburger and fries with digital money? While it’s not that far-fetched (we’ve been using debit/credit cards for how long), it is innovative. Most restaurants are offering curbside or drive-thru pick-up now, with mobile paying as the way to go. That means you can link your crypto wallet to your favorite place (or debit card) and use it to pay for your meal.
Yum! Brands, Inc. is one of the top places doing this. It has many restaurants under its belt, such as Pizza Hut, KFC, and Taco Bell. Though Bitcoin was an acceptable payment form for Canadian KFC’s, it’s now more widespread.
Where Things Are Heading and Why Companies Should Allow Crypto Payments
We aren’t saying those are the only places you can use crypto, but the market is still young and fresh. In fact, we’re hoping that companies read about Bitcoin payments and offer it to their customers. It’s a great way to become modern and hip with the times, and it also boosts cryptocurrency’s value.
Ultimately, it’s a good show for companies that do move to Bitcoin or at least offer it as payment. That way, they stand apart from the competition and can see more revenue because of it.
There are many reasons that companies should allow cryptocurrency payments, such as:
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Save Money – Throughout the years, credit/debit card processing has taken $78 billion in fees from companies. Cryptocurrency is decentralized, so it doesn’t require the bank to verify everything. That means a business can eliminate those fees and save money on each transaction. Most merchant wallets charge a flat rate, so it could be a lot cheaper when people pay with crypto.
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Quick Transaction Processing – Companies often have to wait days for their funds to hit the bank. With crypto, there’s no waiting, and most transactions are completed in a few minutes or in real-time (instantly).
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Works Throughout the World – Since it’s digital, crypto is an international currency, so it can be helpful to businesses that export materials to or from other countries. Crypto can reduce transaction fees and exchange rates.
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Avoid Chargebacks and Fraud – Crypto can be compared to cash because the funds are either there or they aren’t. Transactions are also final when crypto is used because the transactions post to the blockchain immediately. That system verifies the funds so that people can’t spend more than they own. Plus, the company approves the transaction when the funds are shown, so there can’t be disputes about fraud.
Conclusion
The trouble most businesses have with crypto is that it’s unregulated. That can make it illegal in some countries. On top of that, it’s worrisome to use crypto when it’s still so new. Most traditional currencies have been around for hundreds of years (or more). With Bitcoin only being a few decades old, it makes a lot of people wonder.
Still, some companies are breaking the mold and going for gold when it comes to accepting crypto as payment. It’s a good idea to support those businesses if you’re an avid crypto investor (or user).
If you want to trade crypto securely, consider checking out INX. It’s the only trading platform that’s fully regulated, and it’s about to go live soon!
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