Gone are the days when businesses confined themselves to traditional payment methods. It all started with credit/debit cards before e-wallets like PayPal and Skrill became customer favorites.
However, things are moving fast, and cryptocurrencies are positioning themselves as the future of online transactions. It’s no longer a question of “if” businesses will adopt cryptos but “when” these digital currencies will take over.
Here are some reasons why every modern business must consider accepting cryptocurrency payments. As a business owner, this could be the breakthrough you’ve been waiting for.
Join the Crypto Trend
The business world has seen lots of trends come and go. However, it seems cryptocurrencies are here to stay, and you shouldn’t be late to the party. According to the latest study, there are 425+ million crypto users worldwide. That’s a staggering 8,000% increase since 2016, when there were only 5 million investors.
As an ambitious business owner, you should quickly identify and tap into new market trends. The potential to attract 400+ million new customers is too good to ignore. That’s why research shows 46% of merchants have already added cryptos to their list of accepted payment methods.
Take a look at these stats:
- 40% of employees wouldn’t mind being paid in cryptos.
- 82% of businesses use crypto because it eliminates ‘middlemen.’
- There are 37,000+ crypto ATMs worldwide, increasing its accessibility.
- Three out of four crypto users (72%) are under 34 years old.
Reduce Payment Processing Costs
The first rule in business is never to lose money. Your company should always seek to cut costs without negatively impacting customer experiences. That’s where cryptos come in. These digital coins are decentralized currencies, meaning no bank or card fees. Also, most exchanges charge low fees that could reach 0.8%.
Accepting cryptocurrencies opens up unique opportunities for businesses across various industries. In the e-commerce world, crypto payments help reduce transaction fees, eliminate chargebacks, and can help expand the customer base to a global audience.
The same is true for the gaming industry. Surprisingly, casino sites in the US are yet to embrace cryptocurrencies due to regulatory concerns and strict financial laws. However, this could change in the coming years as the demand for crypto payments increases among players.
When this shift happens, the reliance on traditional payment methods will reduce among US players. In addition to the ease and speed of transactions, online casinos in USA will also enjoy lower operational costs and reduced risk of fraud or chargebacks. This is a win-win situation for both players and online casino business owners.
Increase Your Market Reach
Cryptocurrencies present a wealth of opportunities to businesses. But nothing comes close to processing borderless payments. Unlike Bank Wire and online banking, which can have limited accessibility, cryptos are accepted worldwide. As said earlier, cryptos are decentralized coins. This means no government controls the flow of these currencies.
According to Tyn Magazine, 77% of merchants who process crypto payments reported increased cross-border sales. Today, coins such as Bitcoin and Ethereum continue to be widely accepted by most people as a mode of transaction. So, use these coins to provide borderless business services.
Process Faster Payments
Many customers would abandon their carts if they had to wait too long to process payments. It’s also evident that banks can take days to process transactions. This can ultimately slow down your business, leading to unwanted revenue drops. Additionally, banks and other financial institutions do not operate on holidays or weekends.
By accepting cryptos, businesses can enjoy faster, around-the-clock payments. Crypto deposits are instant because there are no banks to slow down the process with verification checks.
You also don’t need to worry about those inconvenient banking hours. This is something that businesses and customers can benefit from immensely. Remember, customers don’t like to wait.
Protect Your Business from Inflation
Inflation is among the reasons most businesses struggle to stay afloat. Think that’s a lie? A survey by the Bank of America in 2022 revealed that 88% of companies are negatively impacted by inflation. The respondents said that inflation leads to rising prices and loss of sales. 21% are also concerned about increased employee wages due to inflation.
Thankfully, businesses in countries with high inflation rates can take refuge in cryptocurrencies. The supply of cryptos is limited, offering protection against inflation. For instance, Bitbo estimates we will mine all the 21 million BTCs by 2140. Interestingly, 98% of that amount will be in circulation by 2030. This shortage means higher coin value.
Seamless Integration
You don’t need to hire a technical expert to integrate cryptocurrencies into your business’ payment system. All you need is an exchange wallet so that your clients can have somewhere to send payments. You can also use your exchange wallet to withdraw cryptos. Other methods like cards and bank transfers may require making calls and filling out forms.
Here are a few tips for choosing a crypto wallet for your business:
- Security features like SSL encryption and two-factor authentication.
- Positive reputation among crypto investors.
- Unlimited access to ‘private keys’ for your assets.
- Backup features in case of device malfunction or theft.
The world is quickly changing, and so is how we do business. Traditional payment methods are no longer efficient for modern customers embracing blockchain-based payments. Don’t let your business lag behind.
