It’s hard to go a day without hearing something about cryptocurrencies. The fact is, this new currency is gaining more visibility than ever before. Cryptocoins like Bitcoin help uproot the economy and turn regular people into millionaires!
As cryptocurrencies become more commonplace, it’s no wonder that other companies want ways to get into the game. Companies that offer a convenient way to buy their cryptocoins with credit and debit cards are able to grow faster than those who do not. Of course, high-risk purchases like cryptocoins are shunned by major credit card processors due to the potential risks. Those who want to offer credit card sales of their cryptocurrencies need a high-risk merchant account.
These high-risk merchant accounts not only provide convenience to customers but add a layer of respectability to your business, especially if you’re dealing in cryptocurrencies.
Here is what you need to know about cryptocurrencies and how they are making an impact on everyday life.
What is Cryptocurrency?
Instead of relying on banks or other financial institutions, cryptocurrencies were created to take advantage of the ever-evolving internet. Cryptocurrency can be used just like physical currency to buy goods and services. Unlike physical money, cryptocurrency exists in a digital form and while cryptocoins can be used to buy things, they are more often traded.
Companies have started issuing their own currencies that can be traded for the goods or services that the company provides. These cryptocoins are often called tokens and act much like the tokens at an arcade or casino chips. You exchange real currency to purchase the token and then use the token to buy goods or services.
The big difference is that cryptocurrencies can increase in value due to speculators driving up the prices of a limited amount of tokens. It would be like a casino that only had a certain number of chips. You might buy the chip at one price, but then it becomes worth a different price as demand grows.
To date, there are more than 2,200 different cryptocurrencies that are publicly traded. Combined, these currencies are worth more than $246 billion. The number of offerings continues to climb, as do their overall values. With so many digital currencies in circulation, it’s understandable that companies would want an easier way for their customers to buy their tokens. High-risk merchant accounts provide this flexibility.
Why Are Cryptocurrencies Popular?
One of the main reasons consumers love cryptocurrencies is that digital money is expected to be the currency of the future. People are racing to buy them now while the prices are low with the hope of cashing in down the road.
Another reason some people support cryptocurrencies deals with the technology behind them. The technology that allows companies like Bitcoin to offer tokens is decentralized. It removes central banks from managing money. That means the token’s value isn’t depreciated in the same way that physical money is. There is also an extra layer of security that you don’t get with traditional payment methods.
How Are Cryptocurrencies Relevant Today?
After Bitcoin saw its cryptocurrency increase in value by nearly 79 percent in 2016, investors took an even more serious look at this token. It outperformed physical currencies around the globe without requiring fees for foreign exchange, stock exchanges, or commodity contracts. Bitcoin, and cryptocurrencies just like it, continue to make a modern impact.
Goodbye Remittance Fees
As the world moves towards more isolationist policies, policies are requiring higher fees to send money across international borders. To avoid fees on remittance, or the money being sent, people are looking at digital currencies that avoid extra costs.
Spend Your Money the Way You Want
A number of countries are making it more difficult to use their national currency abroad. China is a good example of a country that is trapping liquidity for its citizens. The cost or difficulty in exchanging currency is enough to keep people from spending their money outside of their own country. Cryptocurrencies do not recognize borders and can be used anywhere you want that accepts them.
With more consumers using cryptocurrencies, more businesses have started accepting them as a form of payment. From online shopping to investing, tokens from leading companies are just another way to pay for goods and services.
How a High-Risk Merchant Account Can Help Your Business
If you’ve considered jumping into the cryptocurrency game, you’re not alone. Any business with an online presence can make shopping with cryptocurrencies easier than ever before. Adding this service will help your business find new customers. Not only does accepting cryptocurrencies help create a modern reputation for your brand, but it opens up your offerings to a new group of consumers.
You may also want to offer a way for your companies to purchase tokens. Allowing them to do so with credit or debit cards makes it more convenient for your clients. At the end of the day, an easier shopping experience means higher sales.
Unfortunately, because cryptocurrencies are still a somewhat new technology, people are still scared of them. This fear mostly comes out of ignorance, but still impacts how the digital tokens are perceived. Ultimately, cryptocurrencies are considered high-risk, so your regular financial processing systems are of no help.
High-risk merchant accounts connect high-risk businesses or transactions with payment agreements. These businesses aren’t doing anything illegal, so it’s not an issue with the law. Businesses are only considered high-risk because they deal with areas where people are afraid of fraud, chargebacks, and more.
With a high-risk merchant account, you have access to a payment gateway that integrates with your online store to give you more payment processing capabilities. The best accounts also integrate more than just cryptocurrencies, they’ll also allow your company to accept things like Paypal, Apple Wallet, and more.
These accounts also come with robust fraud detection that can eliminate most of the risks people associate with high-risk payments. You can even set up recurring payments and access in-depth analytic reports.
Step into the Future with a Modern Solution
Your step into cryptocurrency is what could take your business to a new level while opening up an entire market of new customers. At the same time, you need a solution that can handle the risk and technological challenges associated with accepting a higher-risk payment. Read more about what is a high risk merchant account.
With a high-risk merchant account, you get everything you need in a single service. Whether you’re ready to make a move or simply want to learn more, make the call today and see how a high-risk merchant account can help your business grow.