6 Reasons to Consider Accepting Cryptocurrency in Your Businessglobalcustomerservice
The inevitable expectation of the world to transition to a digital ecosystem is slowly drawing Near, with Cryptocurrency making this vision clearer. The 100-million-dollar question however is, when will the world totally transition to an age of digital question? Till then Cryptocurrencies will still be a Hot topic because of their enormous growth in value. In the last decade, bitcoin has gained a massive +8.999.900% in value and in this year alone it has outpaced the value of Gold’s Performance in the last ten years. In 2019, Bitcoin increased by 96% compared to 10.8% percent. Currently trading at $10,783.60 dollars, per 8th October 2020, bitcoin is something to watch out for. According to Statista, over 54 Million people actively have a cryptocurrency blockchain wallet.
In spite, of the extraordinary news about Cryptocurrencies, not limited to just the gigantic growth of bitcoins, there are still people who are not informed about these digital currencies. Cryptocurrencies are Flexible and secure and can be used for buying and selling goods online. Major industries are venturing into the norm of accepting crypto payments, with advanced innovations arising from companies such as Lamassu, General Bytes, GenesisCoin, Bit access, etc. who provide Crypto ATMs.
With all these said, how then will accepting crypto payment help your Business Expand and Flourish?
Low Transaction Fees
The innovation with Cryptocurrency is accompanied by lower fees compared to traditional payment systems. As of 2020, the transaction fee for Visa is 1.49%- 2.4% of the said value, Master card is positioned between 1.55%- 2.6%. According to the Motley fool, consumers spend a lot of money using their credit cards, in 2018 roughly $4 trillion. With a 2.4% transaction cost, that means $96 billion was spent on transaction costs with an estimation of $104 billion to be reached by 2020. This highlights a major setback in the profitability of a company since a great amount of transactional input is hijacked by transactional costs.
The story is different when it comes to cryptocurrency payment systems. Bit pay, one of the most accredited Cryptocurrency payment gateway charges between 0.5%-1% in transactional cost which is nothing relative to that charged by traditional payment gateways. In the context of withdrawal, cryptocurrencies do not charge a withdrawal fee and it is completely free and does not require a monthly subscription to sustain your account. This, therefore, means the net revenue of your company automatically receives a 1-2 percent increase just by subscribing to the idea of accepting cryptocurrency payments.
Data is very sensitive and at all costs should not be handled by just anyone. Following the data Privacy scandal of Facebook, a benchmark was set, of how data can be easily abused. It is safe to say the provision of personal data to these intermediaries should be limited as possible. Banks have access to our names, addresses, phone numbers, financial information, credit score, and the list goes on. Banks having knowledge of where your money is going and coming from poses a privacy issue. On the other hand, when it comes to the digital currency, the level of privacy is very high. The most you can obtain, in a digital transaction is just the transaction ID (automated number) and the wallet address. The Cryptocurrency payment processor will also require your name and shipping address for efficiency reasons to ensure your said product is brought to you or sent adequately. That is where it ends, there is no follow up of sharing your data with anyone else.
The amazing innovation with Cryptocurrencies is such that they are based on a Blockchain, which is a distributed, decentralized, digital ledger. Any transactions entered into the system are Concrete and Permanent and there is no room for editing or revoking them. This, therefore, means it is not accommodating to the systems that are vulnerable to transactional fraud. All transactions are independent and permanent meaning that there will be no case of counterfeit attempts or identity theft as that will require a totally new ID in the first place. One of the amazing, yet hard to grasp facts about blockchain is that it has never been hacked. Thanks to the complexity of the system, an attempt to change one block will require the rest of the blocks to be changed as well, which is close to impossible. The good news however is you are in total control over your funds.
When it comes to transactions, the famous question everyone asks is; when is it going to arrive? Cryptocurrencies introduce a platform for sending and receiving money across the globe instantly. With varying differences from banks, there’s no need for the payment of international fees as the transaction is dealt on a blockchain basis, no need to be processed, as there is immediate assimilation in the Blockchain system and finally, ones you have internet you can easily send and receive funds.
Customarily, traditional bank systems would require you to register with an ID and have a bank account number before your transactions are permitted. This is in most cases acts as a deterrent for people opening bank accounts and also for international customers who may not have access to the banks of the accepted payment methods. This then goes to show that any business that is looking for international exposure to acquiring international customers, should accept crypto payments.
The worst news for every entrepreneur, E-commerce store owner, and even businessperson is that there has been a Chargeback. Not only does this disrupt sales but also disrupts credibility. For example, a frequent chargeback request on PayPal will result in the PayPal funds of a company to be halted for 3 months. Now, what is a Chargeback? This is a charge that is returned to a payment card after a customer successfully disputes an item on their account statement or transaction report.
Cryptocurrencies provide a solution because the system is engraved in the blockchain. All transactions made are permanent and cannot be modified or revoked, therefore meaning its not compatible with chargebacks which are known to be the number one fear of every business owner.
The pinnacle of business management is the point of total control. This however seems to be an impossible aim to achieve to most businessmen and Entrepreneurs as a result of their partnership with third parties such as Banks. This is because, though the services are independently provided by you to your customers, the bank is the intermediary when it comes to transactions. This Is problematic because they have the autonomy to freeze your funds, for whatever reasons they deem fit or even close your account in some circumstances. This, in effect, could total a potential monetary loss for your business.
This however is not present with Crypto payments. With the absence of third-party involvement and intermediary as a result of their decentralized system, this means you have absolute control and full access to your crypto wallet. Unlike the government’s decision to cease 47.5% of NICOSIA’s savings exceeding 100,000 euros in Cyprus. This is impossible when it comes to crypto payments as the government neither has control over your transaction nor has the means to see the transactions as the only person with the generated secret id can access them. Success in business is relative to Staying ahead and conforming to change. It is therefore reasonable to start accepting crypto payments.
PrimerPay, a payment gateway is one to consider. PrimerPay has efficiently incorporated Cryptocurrencies as a payment method and still have not undermined the use of traditional payment methods. It aims to expand sales, as it was deduced that 35% of shoppers are hesitant to pay online, fearing the risk of internet scams and dissatisfactions with the payment methods. This problem is effectively dealt with as a result of the range of payment methods building a bridge between the traditional and the most modern forms of payments. With a 100% rating on Approval ration, Fraud Protection, and Customer Satisfaction, PrimerPay should not be overlooked.
Some advantages are that they accept all forms of cryptocurrencies, ranging from Bitcoin, Ethereum, to bitcoins and other relevant cryptocurrencies all with the aim to reduce the risk for business owners and provide instant settlements to fiat.
As a business owner who wants to maximize profit, as an Entrepreneur who wants total control and privacy, as an E-commerce owner who is sick and tired of Chargebacks, Cryptocurrency as a payment method is the solution to all worries and also is a safe and efficient transition to the digital world we are slowly advancing to.