What is a crypto payment provider?
A crypto payment provider, also known as a crypto payment gateway, acts as a bridge between businesses and customers who want to use cryptocurrencies for transactions. They essentially handle the technical aspects of accepting and processing crypto payments, making it easier for businesses to adopt this increasingly popular payment method.
Here's how it works:
- Customer places an order: A customer chooses to pay with cryptocurrency at checkout on a business's website or app.
- Payment gateway redirects: The crypto payment provider redirects the customer to a secure payment page where they can choose their preferred cryptocurrency and complete the transaction.
- Funds converted: The provider instantly converts the chosen cryptocurrency to fiat currency (like USD or EUR) at the current exchange rate.
- Funds deposited: The business receives the converted amount in their traditional fiat currency, minus any processing fees.
Benefits of using a crypto payment provider:
Benefits for businesses:
- Expands customer base: Attracts customers who prefer paying with crypto and opens up new markets.
- Faster transactions: Crypto payments offer faster settlement times compared to traditional methods.
- Lower fees: Transaction fees can be lower than credit card processing fees.
- Increased security: Blockchain technology offers inherent security and fraud prevention benefits.
Benefits for individuals
- Faster transactions: Crypto payments generally offer faster settlement times compared to traditional bank transfers, particularly for international transactions.
- Wider reach: Some providers allow sending and receiving payments globally with minimal restrictions, potentially bypassing limitations of traditional banking systems.
- Financial inclusion: Individuals unbanked or facing traditional financial barriers might find easier access to financial services through crypto payments.
- Greater control: Some providers offer features like self-custody wallets, giving individuals more control over their crypto holdings.
Top crypto payment providers in 2024:
1. Coinbase Commerce:
- Best for: Beginners and businesses seeking a user-friendly platform with multiple cryptocurrency support.
- Pros: Easy-to-use interface, supports major cryptocurrencies like Bitcoin, Ethereum, Litecoin, and more, offers tools like recurring payments and invoicing.
- Cons: Limited customization options, higher fees compared to some competitors.
2. BitPay:
- Best for: Businesses seeking a global reach and diverse features.
- Pros: Supports over 100 cryptocurrencies, offers B2B payment solutions, integrates with popular shopping carts and platforms, provides fraud prevention tools.
- Cons: Complex setup for beginners, higher transaction fees.
3. TripleA:
- Best for: High-risk industries like adult content or gambling, seeking advanced fraud prevention.
- Pros: Specialized solutions for high-risk industries, advanced fraud prevention tools, chargeback protection, supports various cryptocurrencies and fiat currencies.
- Cons: Higher fees compared to some competitors, limited customer support.
4. Blockonomics:
- Best for: Businesses seeking customizable solutions and integrations.
- Pros: Highly customizable API and plugins for various platforms, supports multiple cryptocurrencies and fiat currencies, offers white-label solutions for businesses.
- Cons: Can be complex for beginners, requires technical knowledge for integration.
5. GoURL:
- Best for: Businesses seeking simple and affordable payment processing.
- Pros: Easy integration, low transaction fees, supports various cryptocurrencies and fiat currencies, offers instant settlements.
- Cons: Limited features compared to some competitors, smaller user base.
6. SpicePay:
- Best for: Businesses seeking a subscription-based payment model and recurring billing.
- Pros: Recurring billing and subscription management features, supports multiple cryptocurrencies and fiat currencies, offers various payment methods.
- Cons: Limited customization options, smaller user base.
7. NOWPayments:
- Best for: Businesses seeking a wide range of features and customization options.
- Pros: Supports over 100 cryptocurrencies and fiat currencies, offers donation tools, mass payouts, and subscription billing features, customizable API.
- Cons: Can be overwhelming for beginners, complex fee structure.
8. CoinPayments:
- Best for: Businesses seeking a long-established platform with global reach.
- Pros: Supports over 2,000 cryptocurrencies and fiat currencies, offers various payment methods, including gift cards and mobile payments, long history and reputation.
- Cons: Complex interface, higher fees for some services.
9. B2BinPay:
- Best for: Businesses seeking a comprehensive solution for crypto payments and settlements.
- Pros: Supports over 800 cryptocurrencies and fiat currencies, offers escrow services, on-ramp and off-ramp solutions, multicurrency accounts.
- Cons: High transaction fees, complex platform for beginners.
10. DePay:
- Best for: Businesses seeking a decentralized payment solution with built-in NFT marketplace.
- Pros: Supports various cryptocurrencies and NFTs, built-in NFT marketplace for selling and buying digital assets, decentralized infrastructure, low transaction fees.
- Cons: New platform with limited user base, can be complex for beginners.
