1. Fast and with no borders
Crypto payments are known for being able to be made almost instantly. All of this is possible because of blockchain or DAG technology, which lets you make quick transactions no matter where the client or merchant is.
Depending on the type of cryptocurrency, its architecture, protocol, and other factors, the payment could reach the merchant in a few seconds or 10 minutes. If we’re talking about a noncustodial cryptocurrency payment gateway that doesn’t store the seller’s profit, immediately upon the transaction being completed by the blockchain network and the gateway, the funds are sent to the merchant’s wallet. With fiat payment gateways, merchants usually have to wait between 7 and 14 days for payments to go into their accounts. They act as a middleman, processing the information you give them when you place an order, authorizing it, and sending the money to the seller. All of this makes the business much less efficient and can lead to losses.
2. Resistance to censorship
Crypto is meant to be the money of people who want to be free. That is, users only need to make a crypto wallet to start sending and receiving money. At the same time, because blockchain technology is private, it can be used to accept payments even between people who are running illegal businesses.
Because of this aspect of the blockchain, cryptocurrencies have become very popular on the black market and among other businesses that aren’t allowed to use them. On the other hand, fiat payment providers might not work with your type of business and refuse to integrate. Every fiat payment gateway has a list of things that can’t be done. It could include things like online casinos, stores that sell tobacco and alcohol, goods and services for people over the age of 18, forex exchanges, MLM companies, and so on.
In turn, the cryptocurrency payment gateway allows you to accept payments for online casinos without problems. Learn more about it here: https://bithide.io/payment-gateway-for-casino.
3. Low costs
Along with fast and borderless payments, crypto also has low network fees that make it competitive. The point is that there aren’t many people in between. When your client pays for your goods and services using crypto payment, they pay a small network fee, and you pay a service fee to the crypto payment gateway.
So, we can say that with a crypto payment gateway, there is only one middleman. This makes the payment process much easier and gives your customers a better experience. On the other hand, a fiat payment gateway involves a seller, a major bank, an acquirer bank, a processing center, an international payment system, and a buyer. The payment process is made up of a large number of small transactions. Each middleman on the list takes a small fee, which adds up to a significant amount.
4. Safety
Even though blockchain technology is private, it is also open. Anyone who knows the sender’s and receiver’s wallet addresses can check when the transaction happened and how much money was sent. Also, crypto transactions can’t be undone (so be careful when looking at wallet addresses), which protects merchants from chargeback fraud. When it comes to fiat payment gateways, payments are sometimes lost. Although the money is deducted from the buyer’s card, it is not transferred to the merchant’s account. Therefore, the customer is still without money and products, and you are left with a frightened customer who has no money in their account. Due to the decentralized nature of the blockchain, an event of this kind can never occur again.
