If you have a small business, or if you own any kind of business, you’ll likely look into methods to “spice up” your operations and get more sales. After all, now that we’re more reliant on online shopping, business owners have to be craftier and smarter regarding their payment options. In this case, should your business start accepting cryptocurrency as a mode of payment?
This might be tricky, especially if you’re just starting to explore crypto as a method of payment. Let’s explore some of the pros and cons of letting your cryptocurrencies become one of your payment methods for your business:
Pros: Your Business Will Be More Modern, Secure
The biggest perks of crypto as a method of payment lie in its capability to make your payments more secure and make your business seem much more modern. Here are other considerations for you to consider:
- Transaction fees are determined by the company. Credit card fees can be a bummer, regardless of any business – be it an eCommerce store or movers to Manhattan NYC. Sometimes, customers and merchants have to pay an upwards of 30-percent in transaction fees alone. PayPal, for instance, charges 4-percent at the most for their transactions and this goes up if you’re selling products and services at a lower price. However, in crypto like Bitcoin, it’s the network hosts that get paid transaction fees since cryptocurrencies use their computers to make transactions happen over the internet.
- Anonymity and security with the right programmers. If you hire the right programmers, it’s very likely that you’ll be able to get a robust cryptocurrency network that guarantees security and anonymity for your crypto wallet. As a kind of blockchain technology, cryptocurrency guarantees anonymity between users and it’s extremely robust as cryptography is used to protect data transferred between transactions.
- No chargebacks and reversals. If your business allows credit card transactions, you know that one of the risks posed by such a method would be chargebacks. Scammers use this strategy to purchase from you, only for them to reverse the charge, get their money, and also steal your product. However, crypto like Bitcoin won’t allow this to happen. Payments from crypto are only done one-way.
Cons: You Might Need Some Technical Experience
Unfortunately, a lot of the cons regarding crypto as a method of payment has to do with the technical nature of crypto as a form of blockchain. Here are some considerations:
- Fluctuating market. As with any other currency, cryptocurrencies also fluctuate in value across days, weeks, or even months. That means you might have USD 1,000 in Bitcoin today but it won’t be the case tomorrow. Unlike other currencies, crypto can be extremely volatile, and values can either skyrocket or get a nosedive. If you’re considering implementing crypto payments for your business, you should take this into consideration.
- Doubts and unfamiliarity. Unfortunately, as crypto tends to be a bit confusing for a lot of audiences today, not everyone knows how to set up a crypto wallet and pay for services with cryptocurrencies. This means your moving company might have a crypto wallet and let customers avail moving to Manhattan services, but not everyone might be able to pay you with crypto as they might find themselves unfamiliar with crypto transactions.
- Technical knowledge required. Unfortunately, there might be a need for your business to hire crypto programmers in order to properly create a crypto wallet for you. While you can do this setup yourself, it’s still better to hire experts that are able to create a robust and protected crypto network for you and your business in order to properly receive crypto payments without the hassle.
Cryptocurrency as Payment: It’s All Up To Preference
Accepting cryptocurrency as a payment method for your business might be a novel method of approaching your company. After all, not all businesses accept crypto for payments, primarily because of the rather technical nature of cryptocurrencies and blockchain. However, with the above taken into consideration, there might be some perks to gain if you’ve selected cryptocurrency as your mode of payment.