Step By Step Guide To Accepting Bitcoin Payments For Businesses
Bitcoin is becoming increasingly popular and mainstream. Growth in popularity has to do with the fact that it is perceived as the currency of the future, given its benefits as a mode of completing transactions. With over $200 billion worth of bitcoin floating in people’s digital wallet, the virtual currency is slowly emerging as a payment option for many businesses.
A growing number of businesses have started to integrate Bitcoin as a mode payment because of the following reasons
Low Transaction Fees
Compared to things like credit and debit cards, Bitcoin comes with low transaction fees of as little as 1%. Governments and financial institution do not get any cut with bitcoin transactions given that the currency is supported by blockchain technology that allows peer-to-peer transactions.
Bitcoin facilitates cheap and fast cross-border payments allowing businesses to engage in international trade with ease.
Bitcoin is supported by an immutable blockchain that provides a level of identity-theft protection, perfect for averting fraud.
Access to A Wider Customer base
Millennials are increasingly using bitcoin and the fact that they are set to become the largest consumer group, justifies the need to accept such payments if a business is to have access to a growing target market.
Step By Step, Guide To Accepting Bitcoin Payments.
Create A Merchant Account
Creating an account with a merchant processing service as well as an exchange is the first step to accepting bitcoin payments. Some of the most popular service providers in this front are CoinPayments, Bitkassa, Coinbase, and BitPay.
CoinPayments is one of the best in the space as it comes with additional benefits, perfect for enhancing small business e-commerce ambitions. Shopping cart plugin for e-commerce, invoice builder, and Point of Sale Interface are some of the extra features that the bitcoin payment processor comes with.
Select Coin Preference
Once you have created an account, you will have to choose from two options ‘Merchant’ or ‘Wallet’. In this case, choose ‘Wallet’ as you intend to accept cryptocurrency as a payment option for the business. Next scroll down the page to ‘Update Coin Preference’ and choose the types of cryptocurrencies you wish to accept and then click update coin preference.
Let Everyone Know
Once you have selected Bitcoin as one of the coin preference, it would be wise to make it known to a good customer base. You can do so by updating the homepage on the website and in other products and services pages.
Create a Digital Wallet
To be able to send and receive bitcoin and fiat currencies you will need a digital Wallet. Simply put a digital wallet is a system that securely stores payment information as well as passwords for payment methods. They largely eliminate the need for a physical wallet used to store cash.
One of the best digital wallets for storing bitcoins is ‘Uphold’ as it works seamlessly with CoinPayments merchant processor. To be able to store, send and receive bitcoin payments you will have to create an account with them.
If you wish to convert bitcoin in your CoinPayments to USD, simply go the Uphold dashboard and select the ‘USD Card’ and then select ‘Add Funds’.
Choose Fund with ‘Cryptocurrency or Utility Coin’ and then select ‘Bitcoin BTC’. This will generate a crypto-Key address that you can enter into your ‘CoinPayments Withdrawal’ screen to complete conversion of the selected amount of Bitcoin to USD, in the Uphold USD Card.