Are Crypto Payment Gateways the Future of E-commerce?
Adekunle Joshua
Crypto payment gateways enable customers to pay in cryptocurrencies, replacing cash and cards
They act as intermediaries, collecting payments and transferring them to vendors' accounts while charging a small fee for their services
Payment gateways collect payments, charge a fee, and transfer funds to vendors.
They save vendors from setting up payment channels and handling digital infrastructure
Crypto payment gateways accept cryptocurrencies, ensuring anonymity by collecting wallet addresses. Some require KYC for compliance
Crypto payment gateways work in four steps: invoice generation, customer payment using wallet's scanner, conversion of crypto into cash, and depositing cash in the vendor's account
On-Chain gateways transfer cryptocurrencies within the blockchain without involving cash
Off-Chain gateways transfer cryptocurrencies between wallets and can involve cash through exchanges or private settlements
Advantages: Immediate conversion of crypto into fiat, lower fees for cross-border payments, and faster settlements