.KIM LACHANCE SHANDROW
SEPTEMBER 4, 2014
An estimated 80,000 businesses already accept Bitcoin today, and not just as a marketing gimmick. Why not yours?
Forward-thinking merchants of all sizes around the world are glomming onto the hot Bitcoin payments trend, many of them to cut costs and boost their bottom line, says Adam White, director of business development and strategy at Coinbase.
The 1.6 million-customer San Francisco Bitcoin exchange and wallet service processes Bitcoin payments for some 36,000 companies and growing. Among them are Overstock.com, OkCupid, 1-800-Flowers, DISH Network, and several other big-name early cryptocash adopters.
Related: This Company Is Now the Largest in the World to Accept Bitcoin
If you’re still sketched out about doing business in Bitcoin — or you got cold feet on the heels of the U.S. Consumer Financial Protection Bureau’s recent advisory warning on the topic — White recommends you reconsider.
Here are his top five reasons merchants should start accepting the virtual currency now:
- Lower transaction fees. Per transaction fees for accepting Bitcoin are generally significantly lower than those charged for credit and debit card purchases. White says this is the biggest reason smaller merchants are latching onto Bitcoin payments.
“Small businesses, on average are paying higher credit card fees than Walmart is, and Best Buy,” White says. “These are large, enterprise level businesses that have scale and therefore they can negotiate lower credit card transaction fees. Small mom-and-pop shops can’t.”