As a high-risk merchant, you’re no stranger to the challenges of managing chargebacks, fraud, and finding reliable payment processors. So we can only imagine your delight at discovering a payment solution that reduces these risks and opens new opportunities for growth.
Essentially, that’s what Bitcoin merchant services can provide, and this quick guide will walk you through the benefits and practical steps to start accepting Bitcoin, providing a secure, efficient, and customer-friendly payment option.
Ready to transform your payment processing? Discover how Bitcoin merchant services can improve your business operations and help you stay ahead in a competitive market (because, let’s be honest, practically every high-risk business is in a competitive market these days).
Cryptocurrency & High-Risk Businesses: Why They Play Well Together
Before explaining the ins and outs of Bitcoin merchant services, it’s helpful to understand the benefits of Bitcoin and other cryptocurrencies in general, especially if your business is in a high-risk, heavily regulated industry.
Cryptocurrencies offer a unique set of advantages that make them particularly appealing to high-risk businesses:
Reduced Chargebacks: Since cryptocurrency transactions are irreversible, businesses can avoid the costly and time-consuming disputes that often accompany traditional payment methods.
Global Reach: Cryptocurrencies enable businesses to reach a global audience without the limitations posed by currency differences and international transaction fees.
Enhanced Security: The decentralized nature of blockchain technology provides an added layer of security, reducing the risk of fraud and hacking.
For high-risk businesses, these advantages can translate into more stable and predictable financial operations, making cryptocurrencies a valuable addition to their payment options. Sounds great, right?
Okay, So What Are Bitcoin Merchant Services?
Bitcoin merchant services provide businesses with the tools and infrastructure needed to accept Bitcoin and other cryptocurrencies as payment. These services typically include:
Payment Gateways: Software that facilitates the acceptance of Bitcoin payments on your website or in-store.
Wallets: Secure digital wallets to store received Bitcoin payments.
Conversion Services: Options to convert Bitcoin into fiat currency, like USD or EUR, minimizing exposure to cryptocurrency price volatility.
We know what you might be thinking: “Can’t I just accept Bitcoin on my own somehow?”
Maybe. It’s possible. However, by leveraging professional Bitcoin merchant services, it’s easier to integrate cryptocurrency payments into your existing systems, providing customers with a convenient and secure payment option that’ll lead to happier customers, reduced payment issues, and ultimately increased long-term revenue.
💡For a more comprehensive overview of what Bitcoin merchant services include, read through our helpful Cryptocurrency Payment Processing guide.
3 Benefits of Bitcoin Merchant Services
Now that you know what these types of high-risk merchant services include, let’s explore the top three benefits for high-risk merchants like yourself.
1. Lower Transaction Fees
Traditional payment processors often charge high transaction fees, which can eat into a business’s profit margins.
Bitcoin merchant services tend to have lower fees, allowing businesses to keep more of their revenue.
2. Faster Transactions
Cryptocurrency transactions are typically processed much faster than traditional bank transfers, which can take several days.
With Bitcoin, transactions are often completed within minutes, ensuring quicker access to funds.
3. Increased Customer Satisfaction
Offering Bitcoin as a payment option can attract tech-savvy customers who prefer using cryptocurrencies (currently, around a third of consumers are interested in using cryptocurrency to make purchases).
This can lead to increased customer satisfaction and loyalty, as well as a broader customer base.
Bonus: Enhanced Payment Security
To ensure you understand the benefits of accepting cryptocurrency payments as a high-risk merchant, we’ll even throw in another popular pro: security!
When it comes to security, high-risk payment gateway solutions, like FastoPayments, offer enhanced measures to safeguard your business and customer data.
Because remember, Bitcoin transactions operate on a decentralized network, ensuring anonymity and minimizing the risk of fraud.
Unlike traditional payment methods, Bitcoin payments are irreversible, providing added protection for merchants against chargebacks.
Another great way to prevent chargebacks is to offer great customer service and high-quality products. If you're an EU-based business, for example, we've seen that it's always better to have a warehouse in Europe, so you can ship faster. Also, ensure your product is great, so you're getting happy customers who receive something of quality.
How to Accept Bitcoin as a High-Risk Business
Ready to get started? It’s (sort of) simple, at least after you find a great crypto payment processor to work with (which we’ll help you through in just a second!).
However, so you can understand how it works, here are the steps involved in accepting Bitcoin as a high-risk business.
Step 1: Choose a Bitcoin Merchant Service Provider
Do not skip this step, as the right payment provider can make or break your payment processes and cash flow management. Look for providers that specialize in high-risk businesses and offer comprehensive services, including payment gateways, wallets, and conversion options.
Step 2: Set Up Your Account
Once you’ve chosen a provider, you’ll need to set up an account. This usually involves verifying your business details and integrating the payment gateway with your website or point-of-sale system.
Step 3: Integrate the Payment Gateway
Integrate the Bitcoin payment gateway into your checkout process. Most providers offer plugins or APIs that make this integration straightforward.
Step 4: Test Transactions
Before going live, conduct test transactions to ensure everything works smoothly. This step will help you identify any potential issues and ensure a seamless experience for your customers before you realize something’s broken and a dozen upset customers contact support.
Step 5: Promote Your New Payment Option
Many high-risk merchants overlook this step, but it’s a great idea to let your customers know that you now accept Bitcoin. Promote this new payment option on your website, social media channels, and marketing materials to attract cryptocurrency enthusiasts.
4 Factors to Consider When Choosing a Bitcoin Merchant Service Provider
Selecting the right merchant services company can, again, make or break your business’s success. Consider the following factors when making your decision.
1. Transaction Fees for Bitcoin Merchant Services
Understand the impact of transaction fees on your bottom line.
With FastoPayments’s Bitcoin merchant services, for example, you benefit from competitive and transparent fee structures, ensuring you maximize your profits when accepting cryptocurrencies.
2. Security Features of Cryptocurrency Payment Gateways
Prioritize the security of your business and customers by choosing a Bitcoin merchant service provider with robust security features.
FastoPayments offers advanced security measures, including multi-factor authentication, SSL encryption, and fraud detection systems, safeguarding your transactions and data.
3. Customer Support for Bitcoin Merchant Services
Ensure your chosen Bitcoin merchant service provider offers responsive customer support through email, phone, and chat.
FastoPayments prides itself on excellent customer support, providing timely assistance whenever you need it.
4. Easy Integration of Bitcoin Payment Gateways
Simplify the integration process by opting for a Bitcoin merchant service provider with seamless integration options. Look for comprehensive developer documentation, user-friendly APIs, and hosted payment pages.
FastoPayments offers hassle-free integration solutions, empowering you to start accepting Bitcoin payments quickly and effortlessly.
As a business owner, you want to get paid as fast as possible, so it's important to consider the contract terms when comparing your high-risk payment processing options. Standard contract terms offer weekly payouts and a 10% rolling reserve. However, each individual industry and acquirer sets different fees, so it depends on your history and industry.
What About the Risks of Bitcoin Merchant Services?
While Bitcoin merchant services offer numerous benefits, there are also risks to consider, and it wouldn’t be fair to suggest these services without also helping you understand the potential risks, so here are a few of those.
Volatility
Cryptocurrency prices are notoriously volatile, which can lead to significant fluctuations in the value of your Bitcoin holdings. To mitigate this risk, consider using a provider that offers instant conversion to fiat currency.
Regulatory Uncertainty
The regulatory landscape for cryptocurrencies is still evolving, and changes in regulations can impact your ability to accept Bitcoin. Stay informed about the latest developments and choose a provider that complies with current regulations.
Technical Challenges
Integrating Bitcoin payments may require technical expertise, especially if you’re not using a user-friendly platform. Ensure you have the necessary resources or support to manage the integration process effectively.
Speaking of technical challenges, here’s a word from our Founder & CEO about what we’re doing at FastoPayments to reduce the technical barrier:
The issue is that every single developer that each merchant works with views integration documentation differently. That's why, at FastoPayments, we're working hard to develop solutions to the complex nature of high-risk payment processing. The goal is to continue to develop in-house dashboards and platforms that are a lot easier to understand and implement.
Get Started with FastoPayments’s Bitcoin Merchant Services Today
If you’re ready to embrace the benefits of accepting Bitcoin, partner with FastoPayments.
As specialists in high-risk merchant accounts, we offer a comprehensive suite of Bitcoin merchant services tailored to your needs. With FastoPayments, you gain access to secure payment gateways, reliable customer support, and tools to manage volatility.
Plus, you get access to all of this…
Expertise in High-Risk Businesses: FastoPayments understands the unique challenges faced by high-risk merchants and provides solutions designed to mitigate risks and enhance financial stability.
Robust Security Measures: With advanced security features, FastoPayments ensures your transactions and Bitcoin holdings are protected.
Competitive Fees: Enjoy lower transaction fees compared to traditional payment processors, increasing your profitability.
Seamless Integration: Easily integrate Bitcoin payments with your existing systems using FastoPayments’s user-friendly tools and comprehensive support.
Start accepting Bitcoin today and unlock new opportunities for growth. Get a free, no-obligation quote for our Bitcoin merchant services now.
