Cryptocurrency and blockchain technology has been receiving much attention for almost a decade. Where Bitcoin proponents were once only a tiny fraction of the population, now the conversation has spread to investors and banking experts.
Although banking giant Chase and multinational investment bank Goldman Sachs have been pretty vocal in their criticism of Bitcoin, the threat of the revolution of the banking system exists.
More businesses are accepting cryptocurrency as payment. As much as 40% of consumers have expressed their desire to pay in cryptocurrency.
Is It Necessary To Have A Crypto Services Merchant Account?
To process cryptocurrency payments securely, you will need a crypto services merchant account. Since the adoption and innovation of cryptocurrencies are moving at such a break-neck speed, regulation has simply not kept up. So, for the moment, the crypto market is still considered high risk.
Additional reasons why crypto is considered high risk are that cryptocurrency is highly volatile. Bitcoin is infamous for being volatile due to several factors: investor and user opinions, government regulations, media publicity, and supply and demand.
That said, there would be no opportunities to acquire a crypto merchant account from a traditional bank or financial institution. A merchant would need to seek the services of a reputable high-risk merchant account provider.
The Benefits Of Having A Crypto Services Merchant Account
Opening a crypto services merchant account has its benefits. Not only will accepting cryptocurrencies as payment will position you as a forward-thinking business, but it will also allow you to enjoy these advantages:
- Ease of integration
- Offer multiple types of cryptocurrencies + your traditional payment methods
- Lower processing costs
- Simple cross-border transactions
- Easy refunds
- Accept crypto payments online and in-store
- Accept crypto payments from any eWallet
When you open a crypto services merchant account, you will be offered a crypto payment gateway. They offer far more security since they use blockchain technology to verify all their transactions. This data is then “cross-checked” among multiple servers that are provided by separate users.
What you have is a “shared data” network that ensures that the transactional information is legitimate before sending a final confirmation.
How To Apply For A Crypto Services Merchant Account
Although many high-risk merchant account providers offer crypto services merchant accounts, it would be best if you choose a provider that has extensive experience within the cryptocurrency industry.
Depending on the provider, you will be required to submit specific documentation along with your application. They can be as follows:
- A copy of a passport or ID
- One month’s worth of business bank statements
- Processing history for the past six months
- Certificate of incorporation
- Canceled check/verification of bank account
- Personal and business credit record
- Compliance with the anti-money laundering act
- Fully secure and compliant website
Most providers now offer the ability to fill out the merchant account application entirely online. Once the application is completed and the aforementioned documentation is submitted, merchants can expect to hear back with a decision in as little as 24 hours.
Once approved, merchants can expect to have a representative help set them up with a secure payment gateway, if needed, and complete the process of setting up the merchant account to begin accepting crypto payments.
Is Cryptocurrency The Future?
The way the financial landscape is currently heading, it may seem that blockchain technology can revolutionize the future of payments. However, it is difficult to predict whether or not this technology will be adopted across all industries.
What is certain is that cryptocurrencies and the technology driving it will continue to evolve in the coming years. This will mean more adoption by more consumers.
If your business wants to take advantage of this explosive evolution in payments, find the best crypto merchant account provider and start accepting crypto payments today.