Cryptocurrency is becoming increasingly popular and is now a viable payment method for many businesses. This means that finding a solution to allow payment in fiat currencies that is accepted as cryptocurrency has become increasingly important.
Fiat to cryptocurrency payment gateways
Finding a fiat to cryptocurrency payment gateway that is reliable as well as cost-effective is an important step towards offering a business a good reason to accept and receive digital asset transactions from customers.
What is a fiat to crypto payment gateway?
A fiat to cryptocurrency payment gateway opens the doors for merchants to be paid in increasingly valuable crypto assets such as Bitcoin and Litecoin even if the customer pays in fiat currency. It enables a business to accept fiat currency as payment but allows it to withdraw the amount in their chosen cryptocurrency.
With more and more companies interested in diversifying their assets by investing in crypto, a fiat to cryptocurrency payment gateway offers a quick and easy way to do this. An e-wallet service enables merchants to integrate this kind of payment gateway directly into their payment platforms, and crypto withdrawals are typically only subject to small fees.
Why implement a fiat to crypto payment gateway?
A fiat to crypto payment gateway is an important step for a business to modernise its methods of payment. Allowing customers to have the option to pay in fiat or crypto would be a welcome addition for many, especially since the crypto market is growing rapidly.
The cryptocurrency market is expected to grow from $1.6 billion in 2021 to $2.2 billion by 2026. It is clear from these predictions that the crypto market is only going to increase in popularity and that means merchants need to be able to accept it as a payment method if they aren’t going to miss out on sales.
Implementing a fiat to crypto payment gateway, will make the process of building up a business’s crypto portfolio an easy one.
As well as being able to attract more sales from crypto enthusiasts, using crypto as payment provides a multitude of benefits for businesses:
- Crypto transactions are processed on weekends and holidays when banks are traditionally closed due to the continuous operation of blockchain networks.
- Cryptocurrencies have lower transaction costs for both businesses and consumers as no middlemen are involved in the process. For the same reason, digital assets arrive faster (anywhere between a few seconds and an hour) to the recipient’s wallet.
- Crypto payments are usually more secure than traditional solutions. In the blockchain networks digital assets use, data is stored on thousands of computers instead of a central server, and every transaction is encrypted via public-key cryptography.
- Crypto payments can’t be reversed, there’s no risk of chargebacks and related fraud. Once a digital asset transaction is confirmed, the network considers it as final.
- Crypto is an excellent choice for merchants with an international user base. Unlike bank transfers, cryptocurrency networks don’t differentiate between local and overseas transactions. As a result, you don’t have to pay an extra fee or wait longer to receive or send cross-border digital asset transfers.
- Digital assets offer high-risk merchants a way to accept payments for products and services that require discretion between the business and the consumer.
- Fiat to Crypto payment gateways add a level of convenience to the process by automatically exchanging the order value from fiat to crypto.
Furthermore, a fiat to crypto payment gateway offers a user-friendly process where they receive all the details from the service provider to initiate the transaction. As well as providing an easy transaction experience, a payment gateway offers a secure way to make payments directly on the merchant’s platform.
Additionally, fiat to crypto payment gateway solutions provide reporting features, there is no need for merchants to track individual crypto transactions and link it to the customers’ orders.
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