With the rapid expansion of technology, online infrastructures are becoming more popular and prevalent. In the last few years, perhaps the most revolutionary advancement to come into existence in this sphere is blockchain technology. One of the many incredible products that come from blockchain is cryptocurrency. This decentralized digital currency has revolutionized the retail sector. Cryptocurrencies allow businesses and people to make online monetary transactions without relying on a central authority such as a bank. These blockchain-based payments reduce the risk of fraud since all transactions appear on a public ledger. Even so, given that cryptos provide party to party transactions, it can be overwhelming for entrepreneurs to accept, verify, and record individual cryptocurrency payments seamlessly.
Manually verifying and logging payments made to your business using cryptocurrencies can be a pain in the neck. Moreover, given that these blockchain-based currencies make international trade easy, companies are likely to get overwhelmed by the payments. Fortunately, crypto payment gateways can help in solving these problems. They are software that authorizes payments for merchants. What's more, you can also get a crypto payment gateway with Opencart to maximize the use of other e-commerce tools. Crypto payment gateways are especially useful to entrepreneurs who aren't extensively knowledgeable in the world of blockchain technology.
Understanding Crypto Payment Gateways
Crypto payment gateways are programs that allow businesses to accept cryptocurrencies as a form of payment. They act as a third-party between merchants and clients that receive and authorize payments from clients. In most cases, when transactions go through these crypto payment gateways, they are charged a minimal fixed rate. After that, the cryptocurrencies used to make the payments are then converted to recognizable fiat currencies. Doing this protects business owners from the volatile nature of cryptocurrencies. Still, entrepreneurs can also opt to store the cryptocurrency in a crypto wallet without converting it into a fiat currency.
Why Businesses Should Use Crypto Payment Gateways
The benefits of cryptocurrencies are already quite apparent to many people. Even so, some businesses are still adamant about using traditional payment methods when transacting online. Here are some of the benefits of using crypto payment gateways to help those who may still be sitting on the fence.
Lower Transaction Costs
It's no secret that traditional online payment methods such as credit and debit cards have high transaction costs. Nevertheless, with cryptocurrencies, banks and other institutions can't control the movement of funds. Therefore, you can expect to have minimal transaction fees when paying and receiving funds.
Attracts New Clientele
Given that cryptocurrencies are immensely gaining popularity, more people are looking to pay using digital currency. For this reason, many people are looking for businesses that accept crypto as payment. Hence, merchants using crypto payment gateways stand to benefit greatly.
Safety and Organization
Although crypto transactions are already pretty secure, there's nothing wrong with adding extra levels of security. Crypto payment gateways can authorize all payments made to your business using cryptocurrencies and do a lot more. Since cryptos can easily facilitate cross-border trade, companies that accept them as payment can expect to witness a rise in the number of orders. Due to this, keeping up with all transactions can be an uphill task. Nevertheless, crypto payment gateways can automate all your sales and organize them. This reduces the workload and prevents any errors from occurring.
Also, many crypto payment gateways have incorporated other online trading tools such as Opencart. This is an open-source online retail manager that makes it easy to manage your online store. It makes managing your inventory easy, and with the help of crypto payment gateways, it allows your business to accept cryptocurrencies as payment with ease.