Bitcoin is the most valuable and popular digital currency, transforming the global economy. And online businesses are leading the way in cryptocurrency adoption, allowing shoppers to pay for goods and services using Bitcoin and other virtual currencies. Today, online platforms allow customers to search for the various online sellers accepting Bitcoin based on products and services.
Some marketers believe that Bitcoins only benefit large, tech-savvy companies with a global customer base. However, recent statistics indicate that many online SMBs are increasingly adopting cryptocurrency in their payment systems. For example, a 2020 HSB survey found that over 36% of SMBs in the United States accept Bitcoin. Some of these traders have personal wallets, while others also use exchanges like bitcoin to benefit the startup ecosystem.
Why accept Bitcoins in your online store
While some online marketplaces also operate physical stores, all web merchants rely heavily on digital payments, allowing customers to pay for their products electronically. However, most of these digital payment systems remain subject to institutional influences, which makes them very restrictive. Here’s why your website should start accepting bitcoin payments.
Expand your customer base
Bitcoin is a decentralized digital currency that allows users to send and receive payments around the world. The number of its users has continued to grow exponentially, creating a new market for online businesses. The growing adoption of Bitcoin among global consumers provides lucrative opportunities for your online store to target new customers. Additionally, integrating Bitcoin into your payment systems could also appeal to your existing customers, providing them with various options when paying.
Faster payment processing
Accepting Bitcoin as a payment method would also provide your online store with greater convenience, allowing you to process customer payments seamlessly and instantly. Bitcoin’s decentralization and underlying blockchain technology allow you to receive payments from customers around the world in minutes. Also, you can send payments to your suppliers who accept Bitcoin quickly.
Reliable transaction records
The other benefit of accepting Bitcoin is that it allows you to keep a proper record of all your transactions. All Bitcoin transactions take place on the network without any intermediary. The blockchain validates transactional data on a permanent shared ledger, accessible to all users at their convenience. This irreversibility of Bitcoin transactions guarantees the accuracy of payment information.
Better control of your money
Unlike conventional payment methods subject to institutional influences, Bitcoin has no central authority. Instead, it’s a peer-to-peer network that lets you manage your money the way you want. You can transfer the funds to your bank, withdraw them in cash via a Bitcoin ATM, or keep the Bitcoins in your wallet as an investment.
How to Accept Bitcoins on Your Website
Different options exist to integrate Bitcoin into your website payment systems. Here are the main alternatives to accepting Bitcoin in your online store.
Online payment process
Many online merchants use third parties to process cryptocurrency payments. Unlike credit cards, online payment processors have relatively low transaction fees, with the majority charging 1% or less. The most popular online payment processes are Coinbase, WooCommerce, BitPay, and PayPal. However, they usually have different terms, including monthly transactions and withdrawal limits.
You can also create a personal Bitcoin wallet to receive payments directly without going through the service providers above. By doing so, you will generate a public key or address to share with customers whenever they want to pay for products in Bitcoins. However, you will still need a trusted crypto exchange to convert your Bitcoin funds into your desired fiat currencies.
Accepting Bitcoin into your online store offers many benefits, allowing you to reduce costs, process payments quickly, and expand your customer base without implementing complex business strategies.