Crypto Payment Gateway is one of the emerging tech solutions for the next-generation digital world. It eases cross-border transactions without any intermediaries and helps your business to engage more global audiences.
But still many business owners are hesitant to adopt such a futuristic PoS solution, as they are not so aware of this payment gateway. If you are one of them, you need not wait to know about it.
This blog contains all the contents that describe the crypto payment gateway, its scope, usages, and the best place to avail it. Let’s get into the blog now.
What is Crypto Payment Gateway?
A gateway for crypto payment is nothing but a payment processor that facilitates instant exchanges like sending or receiving digital currencies and converting them as fiat money rapidly at a real-time price. Simply, it enables users to accept digital payments and receive equivalent fiat currency immediately. It extends another payment method. In recent days, Many merchants are updating themselves to accept crypto payments with the help of crypto payment gateways.
This allows online retailers and e-commerce to sell their products by accepting digital currencies online from their consumers. They pay for the product or the service they avail of from the retailers/ e-commerce/ other business entities in multiple or limited cryptocurrencies depending on the seller acceptance.
However, the buyer can make the crypto payments from their crypto wallets. After they complete the payment process, then the payment will be accepted and converted into fiat money to the merchants with the help of an efficient crypto payment gateway. Through that, you can understand the purpose of crypto wallets and the payment gateways. Both are entirely different from each other.
Let us explain it with a few more words.
The customers/ users who buy a product/ service from an entity usually use the crypto wallet that allows them to store digital money. The main purpose of the wallets is to make online transactions is easier and to increase the security by allowing the users to skip entering their card details repeatedly. It is possible by providing a single-use token to merchant platforms instead of entire financial data.
On the other hand, the payment gateways allow the customers to choose their payment method and authenticate their financial data to approve the payment. Simply, it fetches the customer’s financial data with the merchants’ to complete the transaction successfully.
How Does a Crypto Payment Gateway Work and Why Does It Need?
If you are an entrepreneur having multiple traditional payment systems, you may think that availing a cryptocurrency payment gateway for your business is not so necessary. But it’s wrong.
Despite there being many traditional ways of exchanging money, they have major limitations, especially cross-border transactions. In some payment gateways, there is a lack of automation. In addition, interruption of intermediaries may delay the payment process.
Did you know?
Delay in the checkout process can also cause cart abandonment. As per recent data, e-commerce brands are losing USD 18 billion annually due to cart abandonment. Another report claimed that you can increase the conversion rate by 35% by optimizing the checkout process. The checkout process includes the payment process also.
To overcome these setbacks you need a better payment system. That’s why you need crypto payment gateways. It allows you to accept payments from overseas customers in cryptocurrencies. Let’s understand the crypto payment gateways well by exploring its working model.
Crypto payment gateways are an application of blockchain technology advancement. It allows entrepreneurs like you to open a merchant account and accept cryptocurrencies payment that will take place on a decentralized peer-to-peer network. Through that, the payment data are exchanged to do validation, and send ledgers. At this point, the wallet address will act as the identity for parties (seller and buyer).
For example, when your customer places an order with your online store the tech solution records their wallet address and other necessary data. The gateway ensures the immutability of the transactions by keeping the transaction data safe as a block in the chain ledger. Then the data to be sent to your web server. As you are using the integrated crypto payment gateway, then it can scan the blockchain to validate and confirm the transaction.
The number of crypto coins will be transferred to your account, once the system confirms the transaction. This gateway helps both parties to get confirmation about the successful transaction by sending a notification. The gateway also allows you to convert the coins into fiat money at your feasible time. So, you can exchange the coins, when the real-time value of the currency/coins is high. That’s how a crypto payment gateway allows businesses to receive payments in Cryptos.
Benefits and Advantages of Having a Crypto Payment Gateway
When your business has a crypto payment gateway, it can attain some amazing benefits like accepting payments from anywhere in the world, in any cryptocurrency. Knowing the benefits of the crypto payment gateway may convince you to avail of a gateway now.
Minimizing Volatility Risk: All of us are well-known for the volatility of the crypto market. If you are accepting cryptos in ways that are other than crypto payment gateway, it may take time. Such a long waiting time for a transaction may cost you or your buyer by paying you more than the market price. It may lead to business failure or loss of reputation. So, minimize the possibility of risk by obtaining the best crypto payment gateway.
P2P Transaction: By integrating a decentralized payment gateway into their existing payment mode, you can receive the payment directly from the customers across a peer-to-peer system. It also speeds up the transactions and secures access to the payment gateway. Simply, it eliminates the third-party mediators from your payment system. It also helps to avoid high transaction costs.
Cross-border Payments – The crypto payment gateway takes a few minutes to complete the international payments as much faster than a fiat money transaction. So, it helps your business regardless of its size to get the payment fast to do the import and export process quickly.
Integration – As the gateways are integrated into any existing application. So, merchants can integrate the related plugin with their desired application easily.
Get Advantages of Coin to Fiat Exchange- When you avail the best-decentralized payment gateways for your business it can show the live price charts and other market information on the platform within your admin panel. So, you can exchange the coins when they reach peaks that makes you profitable by converting coins into fiat money.
Compatibility – The payment gateways are more compatible with different operating systems like Android, iOS, and Windows. So, you can access your dashboard from any device with any specifications by integrating with the payment gateway.
Standing Instruction / Auto Settlement – The payment gateway supports the automatic coin settlement. So you can exchange coins for fiat currencies by connecting the payment gateways and the exchanges.
Easy to Access- Nowadays many non-profit organizations have started accepting cryptocurrencies as donations. If you are raising funds, then just provide a QR code to complete the transaction rapidly.
In addition to this, it benefits the entrepreneurs by cutting down the anonymity in the transaction process, and others. At this point, you may get a question in your mind, “But what if… the world doesn’t carry crypto currency anymore in the future?”. Let’s clarify it with some statistics.
Scope of Crypto Payment Gateway:
If you doubt the growth of the cryptocurrency and its payment gateway, it is meaningless.
- According to the allied Market Research report, the market size of the cryptocurrency will be USD 4.94 billion in the year 2030.
- It was USD 1.49 billion in 2021. It is expected to grow at a compounded annual growth rate of 8% from 2021 to 2023.
- Furthermore, a report from Statista revealed that the industry is growing every day. It claims that in February 2021, there were 4,500 cryptocurrencies globally in circulation. But the count has increased and was recorded as 10,397 in February 2022.
This drastic change shows that the demand for cryptocurrency and its circulation will increase in the future. So, if you have a cryptocurrency payment gateway for your business, it must be beneficial in the upcoming days. But to get such benefits, it should be developed by an eminent crypto application development company like CryptoApe.
How to Avail the Best Crypto Payment Gateway for Your Business?
Last but not least, you need to know about the types of cryptocurrency payment gateways before searching for a crypto payment gateway development company. Most commonly, the gateways are classified into two types:
- DeFi Gateway – It enables you to take over complete control over the funds with the help of private keys.
- Multi-currency Crypto Payment Gateway- It empowers your business to receive multiple crypto payments from buyers. Such a payment solution is necessary to cover all the customers from various parts of the world by accepting payments with zero network fees.
However, from CryptoApe you can get your custom crypto payment gateway with tailored features. As we are having eminent developers who understand the recent trends, customers’ needs, and expectations better, they are committed to deliver sophisticated features like the following.
- Two-Factor Authentication
- Admin Panel in a user-friendly manner,
- Profile and Dashboard Management
- Multiple Wallets for Doing Deposit and Withdraw
- Complete Transaction History
- Merchant Tools like Simple Button Maker With Examples, etc
- Support Ticket System,
- HTML Post Fields,
- Seamless Conversion
- KYC/AML, etc
Besides this IPN and its history, API key generations, and multi-language support, are some in-built features of our crypto payment gateway script. With our gateway solution, you can reach global customers, multiple device access, easily obtained, ensuring security and fast transaction by eliminating third party’s involvement. However, simply it is the best solution for your PoS with user-friendly UI and UX.
That’s all. Now you are ready to reach the right Crypto payment gateway developing company to avail it and expand your business and its value globally.
CryptoApe is a top-notch blockchain development company that has been providing numerous tech services like crypto exchange development, token development, crypto payment gateway development, and many more. Our team of experts is well advanced & more trained to complete your project with unbelievable perfection.