To many people, it may seem like crypto is the “Wild West” of finance. As governments and companies start realizing cryptocurrency’s potential, new regulations and applications appear regularly. It’s only a matter of time until a kiosk offering Bitcoin pops up in your neighborhood.
But, as $DOGE and other “meme coins” go to the moon and magnificently crash seemingly overnight (and many times at the will of celebrity tweets, like Elon Musk), it can be hard to see the potential that crypto and the blockchain has on reshaping business and finance for the better. By the time you learn about one, there’s already a new coin with a different gimmick breaking into the market. However, this is the novelty side of crypto, and there’s much, much more the blockchain can offer besides a gag present for your niece who really likes Shiba Inus.
It’s important to understand that a blockchain is a flexible tool with countless applications. There’s legitimate utility in it, and the first step in realizing this is to look past the meme coins that dominate the headlines. It’s a difficult conversation to have and hard to keep professional when talking about the economic impacts of $DOGE on your business and financial ecosystem. However, this is the reality you will need to face as decentralized currency payments come into the B2B and B2C sectors.
As an ever-evolving crypto marketplace continues to grow and expand, the business sector needs to be aware of cryptocurrencies and be ready for them when customers and clients want to start making payments via crypto. In this article, we will be going over the importance of how a business can accept cryptocurrency, why they should, and how to leverage a partner like Evolve Payment to facilitate that transaction.
Going Global With Cryptocurrency
The US market is enormous. Americans live in the largest economy with 24% of the world’s total GDP. By comparison, China, the USA’s traditional “economic rival,” comes in second at 15% of the global economy. But, what the United States has in sheer economic power, it lacks in growth potential. For growth-minded business owners, the rest of the world is their oyster. Developing countries are experiencing explosive economic growth, and deducing how to tap into this market will be the objective of businesses for the rest of the 21st century.
You can find many articles that give great advice on how to attract global business and how to get started internationally. However, international transactions and exchanges often require an importer/exporter for your clients. Cryptocurrency transactions are direct, completely bypassing escrow and fulfilling that much-needed gap for industries that need a way to make transactions happen faster and more efficiently for your business.
With the ability to accept payments via cryptocurrency, your customers can pay you directly from their computer or mobile device using the blockchain as the settlement network. This means no exchange rates, no fraud, and minimal transaction costs. Another critical benefit of accepting cryptocurrencies through Evolve Payment is that you no longer need to collect and store payment credentials or sensitive customer information, as transactions occur anonymously on the blockchain.
Accepting Cryptocurrency in Your Ecommerce Store
One challenge that you will inevitably face from accepting cryptocurrency is the tax implications. In 2014, the IRS made a key decision on virtual currency to, essentially, treat cryptocurrency as property for tax purposes. Businesses that choose to accept cryptocurrency must report it as gross income based on its fair market value when it was received. In other words, each time you sell, buy, or use cryptocurrencies, you’re subject to a capital gains tax.
If you’re an online merchant who wants to accept payment in crypto, several platforms have already partnered with payment processors like Coinbase Commerce and Evolve Payment, which allow Ecommerce stores to expand beyond fiat and accept cryptocurrency as payment. Business owners can also sign up on Coinbase Commerce and other payment processors directly.
We Understand Blockchain and Its Potential
If you are looking to dip your toe into the world of digital-only currency, we can help guide your company through the steps required to offer payments via smart wallets and gateways. Blockchain and cryptocurrency are the future, and we’re here to meet your needs and help you prepare for the next generation of payment systems. The requirements to stay on top of the evolving world of payment processing are made only more difficult with the widespread acceptance of cryptocurrency on the horizon. Crypto is in our DNA, and we’re here to help your business with the global transition to payments on the blockchain.
It’s no longer necessary to build and maintain blockchain monitoring infrastructure. Stay focused on running your business and leave the rest to us.
To learn more about how your business can accept payments via cryptocurrency, reach out to our team to schedule a demo.