Crypto adoption keeps increasing around the world, regardless of the 2022 market crash. The 2022 Global Crypto Adoption Index by Chainalysis index points to countries such as India, the Philippines, and Vietnam, that are boasting marked crypto adoption rates.
It’s now possible for businesses to attain an improved edge when it comes to cross-border potency, upgrade the speed and efficiency of their company all while saving on fees. However, there are a number of major players on the market when it comes to crypto payment providers, so it’s important to get a fair assessment of the sector to make an informed choice. Today, we’re going to be breaking down some of the top cryptocurrency payment processing solutions on the market.
Why Are Businesses Adopting Crypto Gateway Payments?
It’s worth diving into the reasons behind the adoption of crypto payment processing before we jump into the list of top players. This is because you’ll be able to visualise the benefits to onboarding digital asset gateway to your business.
First of all, the financial benefits are immense. Fees may be as low as 0.5-0.8% with top Bitcoin payment providers, while many companies also offer free trial periods limited by volume. When it comes to fiat processors such as Visa and Mastercard, you can expect these fees to rise to 3.5%. Moreover, whereas in the traditional world of finance, you’re expected to keep high rolling reserves to deal with chargeback requests, the blockchain removes the possibility of chargebacks entirely. This means merchants are able to redirect the funds to more important company facets. Moreover, as all transactions are final by default.
Secondly, the global nature of digital assets allows companies to expand their customer base. All that is required to access a crypto wallet is a smart device and the internet. This means, by opening your brand to a cryptocurrency gateway, you’re able to tap into a new market of potential customers on a global scale.
Thirdly, there’s speed. Due to the lack of intermediary organs, payment gateways for cryptocurrency offer instant payments. For comparison, PayPal states that it can take up to 5 working days for a transaction to go through. For merchants, such delays decrease the efficiency of the business – an issue that can be wholly resolved with the integration of a crypto payment processing gateway.
As a result of the benefits aforementioned, almost a quarter of all online businesses are looking to onboard crypto payment processing by 2025, a number that will no doubt increase as time goes on. Let’s now take a look at some of the top players on the market.
BitPay
BitPay is the oldest Bitcoin payment processing solution on the market. The platform has been offering instant fiat conversions since 2011, which enables its clients to eliminate the risks associated with holding crypto on the company books —notably, volatility. The BitPay platform currently supports 8 different currencies and offers withdrawals in 38 different countries. While not completely global, the service does cover the most prominent regions and currencies. BitPay has grown to support a wide range of businesses with customizable plugins and settings.
With 1% charged on each settlement transaction, the platform’s fees are fair. The only community complaints come from the apparent lack of currencies and countries supported, and the company’s chequered past. In 2014, over $1.8 million dollars was stolen from the platform due to a successful phishing attempt. Four years later, the platform released a warning to its users regarding a piece of infected code that was made to extract private keys from those using BitPay’s open source wallet. Nevertheless, noting the isolated nature of these incidents, being few and far between, it’s important to note that BitPay has a solid reputation in the market.
CryptoProcessing by CoinsPaid
CryptoProcessing.com is the top crypto payment gateway today, having processed over $16 billion in crypto over the years. The service is estimated to be responsible for processing around 8% of all Bitcoin transactions taking place worldwide.
The platform offers ready-to-use crypto solutions to fit any business model. What makes CryptoProcessing.com stand out from the rest of the competitors is its instant fiat conversion feature with all volatility risks compensated by the company. In simple terms, merchants can continue operating their business as usual and don’t need any background in crypto, since the received crypto can be exchanged for fiat such as USD or EUR and withdrawn into the bank account.
As for the assets range, CryptoProcessing.com supports assets, including 20 top digital coins and 40 local currencies. The platform also provides various payment options, such as invoices, links, plugins, and channels in order to fit any business model. The pricing is also quite competitive. The basic transaction fee is 0.8%, which can be further decreased by using the platform’s native token, CPD, or participating in special programs.
Considering the current user concerns regarding the security of crypto amid the FTX collapse, it’s important to note that CryptoProcessing.com is an EU-licensed cryptocurrency payment gateway, compliant with the KYB and AML regulations. Furthermore, the service uses 2 blockchain scoring systems to detect any fraudulent transactions and guarantee transparency for the customers.
CryptoProcessing.com is a part of the CoinsPaid ecosystem that offers a wide range of tailored crypto solutions for both businesses and individuals. The product range also includes a multi-currency crypto wallet for businesses and individuals that can be integrated and put to use in a matter of minutes and is suitable for any operations with digital currencies.
Coinbase
Coinbase is a PLC, best known for their cryptocurrency exchange that was founded in 2012. However, many might not be aware that aside from offering one of the best hot wallets in the industry, they also have a renowned crypto gateway. Indeed, the company provides competitive rates, with no fees payable for the first $1 million USD. After that, a 1% fee is paid per transaction.
Coinbase focuses on the hands-off approach with instant fiat conversions and slippage protection systems in place. Furthermore, it offers unique products such as ‘auto convert and fee collection’ which help to streamline the process of merchant onboarding.
The only complaint comes from the notable lack of countries and currencies supported. Coinbase is best suited for companies with interests in the US, or those that aren’t planning to expand their service worldwide.
Crypto.com
Crypto.com holds some of the lowest fees on the market — 0.5% as payment settlement fees. It can be seen therefore as somewhat as a front-runner. Coming with a range of plugins that assist frequent users of e-commerce platforms such as Shopify, Crypto.com is a great option for those who want a fully-automated solution that can be quickly integrated. However, the fees do come at the cost of a best-in-class service.
Crypto.com’s crypto payment gateway solution is tailored specifically to the e-commerce market, and therefore is limited in applicability. The high level of automation also means there’s not much room for a bespoke solution to fit your business. Nevertheless, they feature on our list today because of their ability to meet the needs of e-commerce on a global scale and provide an affordable solution for small businesses in the sector.
Crypto Payment Providers Are Here to Stay
Even though the protracted bear cycle has cost the crypto market almost $2 trillion in capitalisation, crypto gateway payments are on the up in terms of consumer interest and processed volumes.
According to the internal data provided by CryptoProcessing.com, merchants continue to make use of digital asset payments despite the dramatic volatility and negative news sentiment. The statistics show that the transactional volumes of the company have not been at all affected by the Terra Luna crisis, for example.
Importantly, time is of the essence when it comes to integrating a crypto payment processor. In order to make the most of operating in a niche market, it’s vital to strike while the iron is hot. With more and more businesses integrating digital asset payment each day, it’s only a matter of time until your niche is saturated with those who are offering crypto – at that moment, you’ll be put at a disadvantage.
None of the information on this website is investment or financial advice and does not necessarily reflect the views of CryptoMode or the author. CryptoMode is not responsible for any financial losses sustained by acting on information provided on this website by its authors or clients. Always conduct your research before making financial commitments, especially with third-party reviews, presales, and other opportunities.
