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Which Crypto Payments Provider to Select? Payments Service Provider

Nov 25, 2022

Help you to make essential decisions you'll need to make, and provide you with the benefits available in different types of choices. We'll also help you understand the various terms used throughout the process.

Two ways to make cryptocurrency payments

If you are looking to allow cryptocurrency on your website there are two choices:

  1. Cryptolite In the event that you'd love to make cryptocurrency payments however, you don't have much interest in it, this program could be the ideal choice. Check out options to ensure that you get the proper amount of cash to your bank account as fast and as cheaply as possible.
  2. Additional information: This category can get very complicated. If you want to keep the majority of your crypto as crypto, allow a greater variety of currencies or sell NFTs, you'll require advanced strategies.

Picking between a custodial or non-custodial crypto-payments service

When it comes to accepting cryptocurrency payments on your site, one of the most important decisions that you're faced with is the decision of whether to utilize a custodial or non-custodial payment provider.

This is in conjunction with your choice of "crypto gentle" or "something higher."

Payments providers that use custodial crypto

For many merchants, this solution offers security and effortless experience for customers. This option will give support as well as terms of service. Additionally, you will benefit from other features (such the auto-settling of your bank) because your service provider manages your crypto accounts on your behalf.

If you'd like to explore "crypto light"," cryptocurrency payments that are custodial are the best choice.

Advantages of using cryptocurrencies as a payment method that has custody include:

  • Fully integrated extension
  • Accepting any cryptocurrency, or any cryptocurrencies, that are available to customers
  • Directly to your bank account, the fiat currency.
  • Access to accounts via email account and password
  • Support services
  • Costs of transactions are lower and you'll be protected from chargebacks and refunds

Payment providers for crypto that are not custodial

If you're familiar with cryptocurrency, and want to gain access to more advanced features it is possible to consider a non-custodial alternative. When you use non-custodial options they will give you complete control , as well as the only obligation to secure and manage your crypto accounts. It isn't something that should be dismissed lightly. However, for those who are store owners with the right qualifications, you could unlock the maximum possibility of cryptocurrency.

The benefits of using a custodial cryptocurrency payment provider areas follows:

  • You can access and manage your cryptocurrency as soon as you receive it - there's no need for it to be paid by an external entity.
  • No restrictions on these terms and conditions. person can cancel or revoke the account you have created or your service.
  • Every action is subject to current laws and to your personal capabilities. You are able to trade anything that you want to whomever you'd like. You are also able to control your currency however you feel fit.
  • Sole responsibility for your account's security . No third-party data breaches or hacks can impact your account's funds.

Crypto vocab check

Fiat Currency: Currency issued by an official state (e.g. USD, EUR, GBP).

Cryptocurrency: A form of currency that is safe based on cryptographic principles (e.g. BTC, ETH, DOGE).

Stablecoin It is a type of crypto linked to fiat currencies. (e.g. USDC where USDC = 1 USDC equals one. USD).

Benefits of using cryptocurrency for payment services

There are many choices to consider when deciding between custodial or other non-custodial service.

Below, you'll find an extensive listing of alternatives and considerations to illustrate the distinctions between these options. If you're using this list, you must know that this is an overview of the options that are likely to be available. Not all partners will provide all options.

Feature Custodial Non-custodial
A contract with a third person when you sign up to a service with a corporation governed by terms of the service. Y N
Recovery of accounts
If you are unable to access your account, you may seek a change of your password, or a recovery service from the company that you use. 		Y N
Support
You'll be able to access as well as receive assistance from the organization. 		Y N
Automatic exchange to stablecoin and other crypto
You can choose to convert the cryptocurrency into another crypto stablecoin. 		Y Y
Automatic exchange to fiat
You can choose to have the crypto converted automatically to fiat. Be aware that the calculations used for exchange rates and rates will differ depending on the partner you choose to work with. 		Y N
Automatic Settlement to your Bank
It is possible to request the money transfered into your account automatically. 		Y N
You will be provided with the exact amount of currency in fiat.
This will help you keep you from being vulnerable to fluctuations when it comes to the cost of crypto. The non-custodial solution can help reduce - but not eliminate - the risk of volatility by deciding to accept stablecoins. 		Y N
Specific attributes for sellers
Some providers provide features to make it easier for businesses to reduce time and energy. They include features like risk profiling (to aid in making sure that your business doesn't get funds from criminals) as well as protection from overpayment and underpayment and invoicing via email. 		Y N
Transaction finalization protection
Blockchains depend on blocks that are created for transactions to be completed. The larger the amount of blocks that are created following each transaction and the safer the transaction. It helps avoid shipping goods, and the transaction being reversed. 		Y N
Funds for insurance
Custodial as well as alternatives that are not custodial carry the risk of hacking. Insurance on money provides security for customers who use a custodial service. The protection offered by insurance companies varies and businesses should thoroughly research their insurance providers and policy on reimbursement. 		Y N
Y Y
Supports subscriptions/recurring payments
Paying with cryptocurrency, customers have to sign off on each payment. This means that recurring payments are not an option, though some custodial systems provide tools that automatically create invoices and then send them out on a schedule. 		N N
Fees for transactions that are low
Custodial as well as non-custodial firms typically charge considerably less charges for transactions (1-1.5%) as compared to traditional payment companies (2-3.5 percentage). 		Y Y
Exposition to crypto-related networks (e.g. gas) fees
Direct cryptocurrency transactions come with particular network fees - used together with Ethereum being the most popular these are known as gas fees. Some payment processors cover the costs while others pass them onto. 		N Y
Control solely
The only one who can make outgoing transactions using your account. Anyone else is not able to authorize transactions until they are granted access to your password. 		N Y
Accept any cryptocurrency on any network
The payment processors that process crypto transactions provide a range of coins and crypto-based networks. Custodial services are limited by the currencies they accept. Alternative options that aren't custodial could offer better alternatives. 		N Y
integration
It's one thing to get the money however it's an entirely different thing to know which customer paid for the transaction and also to determine what amount they paid for their order. Our partners provide solid integrations that cover everything from the initial setup all the way to day-to-day administration. 		Y Y

Examine your options, then select the best crypto payment service to run your business.

It can be difficult to comprehend the many alternatives for crypto. However, it's important to provide payment options that best suit the needs of your customers and their requirements. Take the time to look through the pros and cons of two different payment providers which use cryptocurrency, and consider which best suits your particular business.

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