What are the benefits of implementing cryptocurrency in your e-commerce business? The way consumers use, interact with, and purchase products are changing. In order to be successful in Retail or E-Commerce, you need to adopt a new mindset and implement some changes. In this article, I will provide you with an overview of why a crypto-friendly eCommerce store is important. And how it can benefit your business.
Introduction to Cryptocurrency
A cryptocurrency is a digital or virtual currency that uses cryptography for security. It is also the medium of exchange in which the currency is transferred from person to person, without the need for a central bank.
The benefits of implementing cryptocurrencies into your e-commerce store include:
Users have ownership over their wallets and can’t be forcibly made to do anything with them (e.g., send money to another wallet)
- There are no transaction fees
- Transactions are fast and secure
- Security is ensured by encryption
The cryptocurrency market is particularly volatile, meaning it’s better to use cryptocurrencies as a marketing tool than an investment tool
Why is it important?
If your business is based in the United States. You will have to pay taxes on sales made on your website, which may be difficult for some businesses. With a crypto-friendly e-commerce store, you can be paid in cryptocurrency like Bitcoin instead of dollars or euros. You can also pay your suppliers with cryptocurrency too. This means you don’t have to worry about the fluctuation of currency values and other economic problems because it’s all done through cryptocurrencies. By using this method, you save money and time because there are no exchange fees or bank fees involved.
In addition to not having to deal with currency conversion fees, transactions are processed much faster than they are with traditional methods. It only takes two minutes for a digital asset transaction to be approved and finalized with e-commerce software like Shopify or WooCommerce (depending on the type of product).
A Case Study of a Crypto-Friendly Business
Here is a case study of how one e-commerce company implemented cryptocurrency in their website and why it was so beneficial for their business.
The first challenge was to find a crypto-friendly payment platform. After conducting research, the team found that there were only three options available to them: Coinbase Commerce, BitPay, and Copay.
Coinbase Commerce was selected as their preferred option because it is compatible with many different cryptocurrencies including Bitcoin (BTC), Litecoin, Ethereum (ETH), and Dash.
After setting up the Coinbase Commerce integration on Shopify, they started accepting crypto payments immediately. The customer experience improved significantly after integrating cryptocurrency into their website. They reported that transactions were executed faster than before. And less expensive as they no longer had to pay credit card processing fees. Furthermore, they saw an increase in conversion rates as people could now use cryptocurrency transfers to make purchases in a safe and convenient way.
Conclusion
As cryptocurrencies have been trending for the past few years. it’s becoming more and more crucial for companies to be able to accept them as a form of payment.
It is becoming easier and easier to use cryptocurrencies with the rising popularity of virtual wallets. Allowing consumers to pay for products, services, and more with Bitcoin, Ethereum, Litecoin, and more.