Businesses should ideally make it possible to pay for goods using as many payment methods as possible. The more the better. This isnít always conventional thinking for business owners who want simplicity over complexity, but the reality is that they shouldnít put any obstacles in the way of customers or clients buying from them. Otherwise, theyíre just turning money away.
Here are five reasons to accept cryptocurrencies in your business.
Online Businesses Have to Look Modern
With an online website, not taking digital currencies doesnít make a lot of sense. Whether youíre selling a mobile app, a software app or a physical good thatís shipped out, customers want to have many options for how to pay.
Itís a fact that consumers are embracing cryptocurrencies Ė especially people who live online and want to try new things Ė and so companies being open to accepting currencies stand to make more. When a PC maker like Dell and a software company like Microsoft accept certain cryptocurrencies for payment, then you know itís gaining in popularity. And youíre not alone, Cryptohead’s research on Ripple found it profitable for businesses to accept digital currencies.
Crypto is Much Faster to Settle the Transaction than Visa or Mastercard
As a business, you are likely to wait 30-60 days for merchant service providers to pay the value of transactions. The process of getting paid into your bank account what has been paid by card is slow and creates a cashflow crunch for growing companies that see goods fly out the door, but the cash does not fly in anywhere near as quickly. With cryptocurrencies, itís possible to exchange them for fiat currencies when you need to without the same kind of delay. Thereís no two-day wait for Payoneer or PayPal to approve a credit card payment either.
No Chargebacks to Worry About
Unlike fraud problems with credit and debit card usage, cryptocurrency payments tend to use tokens that the other party already has when they pay for goods or services. Thereís no chargeback situation to worry about and the merchant services provider holds back a percentage of the money charged to cover them.
Lower Transaction Fees
The cost to receive a Ripple, Bitcoin, Litecoin and other currencies is very low compared to many merchant charges to process a credit card or debit card payment. The percentage cost is usually best when the transaction value is highest. Compared to alternative online payment methods like Payoneer or PayPal, the fees are almost always lower.
Benefit from Soaring Valuations
While trading is volatile some of the time, the general course of cryptocurrencies is upward as interest continues to grow and momentum builds. Leaving sales in cash as a balance in a bank account doesnít allow a business to profit from the growing valuation of the cryptocurrency itself. Leaving some sales received using cryptocurrencies without selling them can benefit from a price run up. It also doesnít require a difficult to get investment account for the business, so itís much easier to own some digital currency and let it ride.
Thereís really no excuse for businesses to not accept cryptocurrencies. Itís becoming far more popular as the months go on with the current buzz surrounding the sector. More consumers are trading currencies and using them for purchases instead of cashing out a balance to their bank account. Not accepting crypto means losing sales, period.