Crealanta Magazine

What Crypto Payments Service provider should you Choose? Payments Provider

Nov 25, 2022

We'll help you make one of the crucial choices to take along with providing an overview of the features that are available in different options. Also, we'll assist you in understanding some of the terms that we'll use as we move through.

Two distinct ways to crypto payments

If you want to utilize cryptocurrency for your site Two options are that are generally offered:

  1. cryptolite In the event you're looking to make payments in cryptocurrency howeveryou're not looking in anything else it's an excellent option. Take into consideration options that will ensure you receive an appropriate amount of cash to your bank account as fast and affordably as possible.
  2. Additional Info: This category can become complicated within a brief period of time. If you wish to preserve the majority or even all of your cryptocurrency as digital currency, allow more currencies or provide NFTs to purchase and you'll require more sophisticated options.

You can choose a either a custodial or non-custodial cryptocurrency payment service

If you decide to accept cryptocurrency on your website One of the biggest choices you'll have to make is choosing one that is a custodial, or not-custodial service.

It's good to make a decision between "crypto light" or "something other."

Payments providers that use custodial crypto

Many merchants opt for this type of payment due to the fact that it gives assurance and comfortable users experience. Support is available, you can accept the terms and conditions and take advantage of additional capabilities (such the automatic settlement of your bank) as the provider manages the accounts on your name.

If you're interested in going "crypto light," cryptocurrency payments custodial service providers are the only option.

The advantages of custodial cryptocurrency solutions include:

  • A fully-integrated extension
  • Accepting the use of any cryptocurrency or other by customers
  • Directly into your bank account with fiat currency.
  • Log into your account with email address and your password
  • Support Services
  • Costs of transactions are decreased and you'll be assured against chargebacks and refunds

The payment service providers for crypto do not have custodial rights

In case you're well-versed at cryptocurrency but want for access to more advanced options, it's a good idea to look for a service which isn't custodial. With non-custodial solutions you'll be in complete authority and in charge of your security as well as managing your crypto accounts. You shouldn't do at a slow rate. If you're an owner of a business that has the proper credentials, you'll be able to unlock the full possibilities of cryptocurrency.

Advantages of using a non-custodial cryptocurrency-based payment service

  • Access and control of your cryptocurrency immediately following you've accepted it - there's no waiting for a settlement with an outside party.
  • No restrictions on the Terms and Conditions. No one can cancel or revoke the service you have on your account.
  • What you do is only subject to the law currently in force, in addition to your own abilities. You can sell anything you want to sell and manage your crypto currency in accordance with your personal preferences.
  • The sole responsibility lies with the security of your account . There are no third-party data breaches, or cyberattacks that could impact your banking account.

Crypto vocab check

Fiat Currency: Currency that is issued by the government (e.g. USD, EUR, GBP).

The expression "cryptocurrency" signifies the currency is protected through cryptography concepts (e.g. BTC, ETH, DOGE).

Stablecoin A type of cryptocurrency tied to a fiat currency. (e.g. USDC (where USDC is 1 USDC equals one. USD).

The Crypto Payment provider offers

There is a myriad of factors to consider when picking between custodial and non-custodial care.

Below is the complete list of options as well as a list of considerations that illustrates how different choices are. If you're considering using this table, be sure to take note that this table provides an overview of what's feasible. There aren't any providers that offer every possible option.

Features Features Custodial Non-custodial
Contract with a third party Join an offer by a company that is subject to the terms of service. Y N
Recovery of your account If you are unable to login and you're not able to access your account, you can request an email request to reset your password or account recovery by contacting the service provider. Y N
Support
It will allow you to establish a connection and get support from the company. 		Y N
Automatic exchange for stablecoin, or other crypto
There is a possibility to convert your cryptocurrency into another cryptocurrency or stablecoin. 		Y Y
Automatic exchange for fiat currency
It is possible to opt for having cryptocurrency converted into fiat automatically. Be aware that conversion rates, exchange rates and others may vary according to the exchange partner. 		Y N
Automatic transfer of money to the bank you have to
It is possible to transfer the money directly to your bank. 		Y N
You will receive exact currency in fiat
This can help avoid being exposed to fluctuations in the value of cryptocurrency. The non-custodial alternative can reduce however it does not eliminate volatility, by deciding to accept only coins that are stable. 		Y N
Extra features exclusive to retailers
Some providers offer instruments that make it easier for businesses to reduce time and effort. These include things like risk profiling (to assist in making sure you do not receive money from criminals) and also protection from overpayment and underpayment as well as electronic invoices. 		Y N
Transaction finalization protection
Blockchains need 'blocks' be created for the purpose of processing transactions. The more blocks created following an specific transaction, the better the transaction. This helps to avoid the risk of mailing out goods which are then able to see the change in the transaction. 		Y N
Funds for insurance
Both custodial and non-custodial solutions have the potential of being hacked. The idea of insuring money is to safeguard users using custodial solutions. But, the protection offered by insurance companies differs. businesses should thoroughly research the insurance policies and refund policies. 		Y N
Y Y
Supports subscriptions/recurring payments
Paying customers with cryptocurrency must authorize every transaction. Thus, regular payments will be a non-option. However, certain custodial services offer the ability to generate regular invoices and send them automatically. 		N N
Transaction fees that are very low
Companies that are both custodial and not generally have lower transaction costs (1-1.5 percent) in comparison to traditional firms (2-3.5 percentage). ). 		Y Y
Exposition of crypto networks (e.g. gas) fees
Direct cryptocurrency transactions are subject to their own network fees and, with Ethereum becoming the most well-known one. They are also referred to as gas fees. The payment processor may have the ability to pay these costs; however, some companies transfer these costs to the user. 		N Y
sole control
You are the only one with the authority to sign off on transactions coming into your account. No one else is able to accept transactions without access to your account's key. 		N Y
Accept any cryptocurrency over any network
The payment processors that take cryptocurrency are able to support various digital currencies and crypto-based networks. Custodial service is limited to the currencies they accept. Alternative alternatives that aren't will offer a wider selection of choices. 		N Y
integration
It's one thing to receive the cash, but it's another to know which customer made the payment and the value of the transaction. Our partners offer comprehensive integrations, ranging from setup to the day-to-day administration. 		Y Y

Review your options and choose the best cryptocurrency choice to manage your company.

Cryptocurrency solutions can seem confusing It's important to offer solutions that are most suited to the needs of your clients and their requirements. You should be sure that you have a thorough look at the advantages and disadvantages for the two kinds of payment companies that utilize cryptocurrency, and make note of which of them best suits your specific business.

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