Cryptocurrencies are gaining popularity worldwide, with nearly 60% of top companies using them for transactions. Many merchants are considering integrating a crypto payment processor to enhance their businesses. This processor facilitates crypto transactions and offers various benefits. Let's explore more about it with XAIGATE today.
What is crypto payment processor for business?
A crypto payment processor for business is a blockchain-based software that connects merchants accepting crypto with customers paying for goods and services. It serves as a payment gateway for digital assets, enabling instant and secure transactions between customers and merchants. This processor also allows direct payments from crypto wallets and conversion to fiat currencies. It is crucial for businesses looking to smoothly integrate crypto payments.
Types of crypto payment processor for business
There are two types of payment processors: custodial and non-custodial. The main difference is that custodial processors hold onto your funds, while non-custodial processors do not. When choosing a processor, consider the level of control you want over your funds and the security measures in place.
Custodial versus Non-custodial crypto payment processor for business
Custodial payment processors store your private keys in a wallet for added security. Non-custodial processors allow you to control your funds with keys only you have access to, without touching your cryptocurrencies during transactions.
Xem thêm : https://www.xaigate.com/xaigate-top-crypto-payment-processor-for-business/
Comparison between custodial and non-custodial processors
Custodial processors pros and cons
# Pros
Easier to use
Requires less user input and oversight
Offers enhanced security and backup for your funds
# Cons
Reduced user control, less privacy, increased fees for additional services, and slower transaction speeds.
# Pros
More convenient, requiring less user involvement and management. Processors offer added security and backup for your funds, making them more reliable and secure.
# Cons
Non-custodial processors offer more user control, privacy, lower fees, and faster transactions. However, they require more user management and are less secure without an additional security layer.
How does a crypto payment processor for business work?
Let's explore how a crypto payment processor for business operates:
Customers select cryptocurrencies as payment at checkout
Processor receives secure crypto details from a payment gateway
It verifies payment amount and security
Information is sent to blockchain for transaction
Approval or denial is received from blockchain
Customer's crypto payment is processed and settled in merchant's wallet
Businesses can integrate a crypto payment processor directly, but this may risk security and expose them to fraud and data breaches compared to using a payment gateway.
Differences between a crypto payment processor and crypto payment gateway
You may have come across information about crypto payment gateways and processors. The main difference is that a processor handles transactions, while a gateway provides a platform for merchants to accept crypto payments, notifies parties about payment status, and offers security and support. Both are crucial for businesses accepting crypto payments. Processors confirm transactions through blockchain, while gateways act as a link between customers and merchants with platform support.
Why do merchants need a crypto payment processor for business?
A crypto payment processor is crucial for businesses, offering advantages like zero chargebacks, privacy, instant processing, security, and enhanced customer experience. When choosing a crypto payment processor, consider factors like the cryptocurrencies accepted, processing times, fees, and security measures. XAIGATE is a top choice for businesses looking for a reliable crypto payment processor.For the best, secure, and affordable crypto payment processor for your business, consider XAIGATE. As a leading global crypto payment gateway processor, XAIGATE offers a reliable and user-friendly platform with low processing fees, no monthly maintenance costs, easy setup, invoice services, and global payment acceptance. Our professional team will assist you every step of the way to seamlessly integrate our crypto payment gateway into your business workflow.
