A bitcoin payment gateway enables merchants to accept bitcoin payments. Most of these payment processors now support the purchase and sale of various other altcoins, including Ethereum, Litecoin, Ripple, and Bitcoin Cash. The cryptocurrency market, as you are probably aware, is extremely volatile. In December 2017, the price of bitcoin dropped by 45 percent, from $20,000 to just under $6,000.
There have been many fast rises and falls in a matter of hours since then. Because of this volatility, businesses of all sizes must ensure that all bitcoin payments are converted into fiat currency as soon as possible to prevent potential losses.
Payment processors make it possible to convert bitcoin and other altcoins into fiat currency right away. They allow merchants to automate these payments and provide a variety of other resources and reports to make the entire process as simple as possible.
WHY SHOULD BUSINESSES ACCEPT BITCOIN?
Allowing consumers to pay with bitcoin has a range of advantages. The following are the primary reasons why retailers should consider using bitcoin in their payment modules:
- To provide consumers with a discreet payment system (no embarrassing credit card statements)
- Payments are encrypted and are stored forever on the blockchain ledger
- To gain access to new customers who prefer using cryptocurrencies to pay for products and services
- To further fund the blockchain movement by lowering the costs associated with other payment systems such as credit cards and so on.
WHAT BITCOIN PAYMENT GATEWAY TO CHOOSE IN 2021
The following are the considerations to consider before deciding on a bitcoin payment gateway provider:
- Select an Appropriate Payment Flow
Your Bitcoin payment gateway should be able to scale with your company as it expands. To add a bitcoin payment gateway to a website, you must first choose your company’s most suitable payment flow.
- A website with a built-in payment form that sends data to a secure payment gateway: Payment information is sent via a secure form with this option. The form collects all of the necessary data and sends it to the gateway provider through API calls. This will necessitate additional programming, increasing the total cost of the payment gateway integration process.
- Customers are either routed to a safe, hosted payment page or are forced to enter their details in an embedded iFrame on the website when making a payment. This is a good choice for developers because it takes less time to integrate.
- Using an Escrow system: Some types of businesses benefit from this payment gateway option. A safe escrow system built into your eCommerce platform will withhold funds until the admin grants the appropriate authority. Suppose your site acts as a middleman in trading operations or as another type of online marketplace (such as a bidding portal). In that case, you may need to set up a dedicated on-platform store where the traded funds of the two parties can be securely stored and arbitraged while the transaction is in progress.
- Provide a safe and secure platform for your customers
Big businesses have raised consumer standards for all eCommerce sites by taking the online shopping experience to new heights. Even if you have a small company, your clients can expect a high-quality website that uses the safest payment methods.
- Consider Fees and Service Agreement Requirements
Payment gateway pricing is often determined by the type of transactions a company performs (online or in-person) and business sales, revenue consistency, transaction volume, and the markets served.
It’s important to compare how the business model aligns with the payment processor’s fee structure or gateway. A few services may charge setup fees and contracts and transaction fees if a minimum order and transaction volume are not met.
- 24×7 Customer Support
Several payment gateway services provide only ticket or email support. In this case, users must obey manual instructions to address a problem. If you prefer talking to anyone rather than sending emails, see if the provider provides live technical support, at least during normal business hours, so you can easily fix any technical issues.
The bitcoin payment gateways industry is booming, and the cryptocurrency industry is rapidly developing. A crypto payment gateway is an online transaction portal that enables businesses to accept cryptocurrency payments. Only a few players dominated the new market five years ago. There is now a slew of them. The question now is how to choose the most advantageous and reliable payment gateway provider.