Do you own e-commerce stores? If yes, then there’s something that you might be lacking behind. That’s the use of Cryptocurrency. Don’t know much about it? It’s a kind of digital currency that many new and well-established businesses offer their customers. To know more about this currency and crypto payment processor, read this blog till the end.
What is Cryptocurrency
The word Cryptocurrency is derived from the techniques that are used to secure a network. It’s a digital currency that’s not controlled and managed by any government or bank. But instead, it uses encryption technology with strong cryptography to secure online transactions. In other words, cryptocurrency payment systems are based upon a network distributed across various computers.
Types Of Cryptocurrencies
Cryptocurrency is of various types. Do you know that Cryptocurrencies gain and lose values constantly? That’s why before setting your eyes on any Cryptocurrency, it’s best first to study its market value. Here are the top four highest valued Cryptocurrencies according to the market capitalisation:
Bitcoins are the coins that started the journey of digital currencies in the world market. Before manufacturing the first bitcoin, its creator- Mr Satoshi Nakamoto, drafted the idea of bitcoin on a paper in 2008. He entitled the paper as “A Peer-to-Peer Electronic Cash System.” Nakamoto’s reason for creating bitcoins is to decentralize the financial sector and give back the whole power to the people themselves.
Ethereum is a coin created based on the invention of bitcoins. Vitalik Buterin, its creator, wanted to create a platform capable of transforming the internet completely. He wishes to design Ethereum as a platform that could allow more financial transactions than Bitcoins. Ethereum is now a platform for developers to create decentralized applications like codes or contracts without using any third-party platforms.
- Bitcoin Cash
While Bitcoin Cash might look quite similar to Bitcoins, many differences set this currency apart. Bitcoin Cash allows more transactions to be processed compared to other currencies. By allowing more number of processed transactions, Bitcoin Cash hopes to be at the top of industry like PayPal or Visa.
Benefits Of Using Cryptocurrency In Your E-commerce Store
- Broader Market
Accepting the cryptocurrency as your payment method offers your business access to a whole new market full of tech-savvy consumers. There are so many customers that are willing to trade using cryptocurrency, but every few sellers accept them. With the increasing number of customers ready to trade through cryptocurrency, you can set yourself aside from other businesses by introducing this currency. In other words, you can increase your brand’s presence in marketing, using cryptocurrency.
- Fast Transactions
Unlike the credit card systems that consume days to process and batch out, cryptocurrency can be processed immediately. This gives the user instant access to the funds. Fast transactions can help your business to streamline and manage cash flow precisely. In other words, cryptocurrency subscription payments will make your cash flow management less complicated and straightforward.
- Low Fees
Another great benefit of providing cryptocurrency as one of the payment currencies is the low transaction fees. The fees of cryptocurrency transactions can vary depending upon how you accept them. Whether it’s through your wallet or a third-party software like Xion, the transaction fees always remain less than what it costs through PayPal or Credit Card transactions.
So this was a short guide on cryptocurrency, and it can benefit your e-commerce store. In the end, if you enjoy reading this blog, then do share it with all your friends owning a business. Also, if you have any questions about any of the above points, feel free to ask them in the comment section below.