Should I Accept Bitcoin As A Form Of Payment?
Reasons You Should Accept Bitcoin Payments:
Since its inception in 2009 bitcoin has seen steady growth slowly taking over in different countries all over the world and across different industries. This has seen companies start setting up bitcoin ATMs, a move that has continued to strengthen its use. Bitcoin does gain interest if bought and held for some time. This encourages more and more people to invest in bitcoin. The rise of bitcoin trading has seen more and more people start trading and find a way to get income. Knowing when prices will change either by falling or going up even further a trader can make huge gains if they get the right signals. Traders who buy and hold their positions over a long period can see their bitcoin increase in value. Using cryptocurrency saves you from credit and debit card fraud where you end up paying for the money you might not have spent or lost large amounts of money over a single transaction. When transacting using bitcoin, transaction fees are much lower compared to those of companies such as PayPal.
Since bitcoin was the first cryptocurrency most of the alternatives have only made little changes such as the speed of transactions that end up making transaction fees higher.
Bitcoin still influences the value of these alternative cryptocurrencies.
Accepting Bitcoin Payments:
You’ll need to create an account with your preferred cryptocurrency wallet. Make sure it supports many cryptocurrencies, has affordable transaction fees and can easily integrate with other mobile money transfer services without disruptions. If you’re a business owner include the bitcoin payments into your website or sign up for a cryptocurrency gateway that supports various types of crypto including bitcoin, protects your crypto from price fluctuations through instant conversation and has numerous verification processes, therefore, protecting your money Present your customer with a QR code which is scanned and tells the customer the account that is going to receive the payment. They’ll have to put in their password to verify the transactionThe transaction will be added to your ledger that keeps an account of your balances and a statement of all transactions.
Bitcoin taxation:
Bitcoins are regarded as assets and are therefore subject to taxation valued by the price of the bitcoin at the time of the transaction. The difference is only in the type of transactions and the amount received. Examples of taxable transactions:
After selling any products and accepting bitcoin payments. Miners are also required to pay taxes with each successful bitcoin received after miningBitcoin sellers are also supposed to remit a percentage of their capital gains.
Cryptocurrency exchange companies and brokers:
Robin hood specialises in more than just trading bitcoin but also stock exchange and EFTs. Its site is easy to navigate and does not charge any commission fees. Interactive brokers let traders execute 4 cryptocurrencies directly and also allow you to buy bitcoin rather than own it directly. They however charge a 12% commission for each trade. Webull offers crypto trades in bitcoin and Ethereum, they also offer services on trading stocks and EFTs. The company charges a 1% transaction fee for each trade executed. Trade station is a broker that offers direct cryptocurrency trading but charges a 3% commission on each order traders are however occasionally offered trading discounts. Binance US gives you access to 60 cryptocurrencies including bitcoin and charges $10 for every$10000 trade. The more trades executed the less you’ll be charged. Coinbase gives its traders access to over 100 cryptocurrencies and commissions are charged depending on the transaction and can also vary depending on the funding source. eToro offers free trading for cryptocurrencies but the minimum amount you can have in your account is $50.
Each company has different terms and conditions and all the traders are subjected to these. It is therefore ideal to put a few of these into consideration before investing with them:
Transaction fees or commissions influence the price of each transaction. If you are buying a seller will include this commission in the selling price to avoid lowering their profits. The minimum amount in an account with companies such as eToro setting this amount to be $50 ensures there is enough leverage and traders or investors don’t have to constantly worry about falling below the required margin. The number of cryptocurrencies, Forex and stock exchange pairs that each trader can have access to this gives investors and traders a large portfolio to work with. Start by using a demo account to familiarise yourself with how to navigate through the site, where to find a complete statement of all the transactions carried out and how to verify each transaction.
Conclusion
Now we have learnt ‘Should I Accept Bitcoin As A Form Of Payment?’, As the world is edging closer to having one form of currency more and more people are considering using bitcoin as a form of payment. As the pioneer of cryptocurrency bitcoin has different technologies that ensure transactions are fast and can be used across different countries.
You should however exercise caution since transactions are not reversible and funds can easily be lost through frauds.
