Bitcoin has been around for nearly a decade now. It was started in 2009 and is the most common form of cryptocurrency in the world. Cryptocurrency seems difficult to understand on the surface, but understanding it and learning how to use it may be an essential part of your business’s future.
Accepting Bitcoin as payment can have many positive benefits for your business. To get started, create a Bitcoin wallet and learn more about why accepting Bitcoin as payment could have positive implications for your business.
Bitcoin transactions typically cost the business owner a small flat fee. This can lead to huge savings when compared to the cost of credit card transaction fees, which usually range between 2% and 4% of the transaction. Lower transaction fees put more money into your pocket, making your business more profitable and increasing the returns on your investments.
Accepting Bitcoin is a way to market yourself to people who may otherwise look you over. Bitcoin is still not commonly accepted, so if you begin accepting it make sure you advertise in your store and online that you do. Make sure you are added to lists of vendors that accept Bitcoin as payment, as this can increase your visibility without costing you anything.
Credit card chargebacks occur when customers ask their credit card company to refund their money. The funds are then charged back to you, the business owner. While this is an important part of keeping credit card customers happy, unfortunately, this system can also be abused by customers, leaving you with lost product and no payment received. Bitcoin transactions are immutable; they can not be undone once they have been completed. You still have the ability to work with customers if they have an issue, but the funds would not simply be taken from you to keep them happy.
One of the primary concerns for the founder of Bitcoin was privacy in transactions. Bitcoin functions in such a way that, while a person can see that amounts of Bitcoin are exchanging hands, there is no way to know who is spending or receiving it. Some customers are very concerned with their privacy, so accepting Bitcoin allows them to keep their privacy and spend money at your business.
When a Bitcoin transaction is completed, the funds become immediately available to you as the seller. It can take up to three days to receive funds from a credit card purchase, and as a small business owner, that time is very precious. The benefits not having to wait for money from transactions can make your life significantly less stressful as a business owner.
Trading in Bitcoin can seem intimidating, but the benefits of learning and implementing this cryptocurrency could make a big difference for your business. Added visibility, convenience to customers, and immediate funds are all changes that could benefit your business in both the long and short term.