One buzzword that has changed the fintech world in the last decade is “Cryptocurrency.” Cryptocurrency is the future of online payment, and we can say this confidently because millions of online cloud services and eCommerce websites already offer Bitcoin and other cryptocurrencies as a payment mode. Recently, Elon Musk (CEO of Tesla) tweeted that people could buy Tesla cars with Dogecoin.
Even In India, Government has recently taxed profits from Crypto at 30%, which indicates that Crypto transactions have a future in the Indian market. Like UPI, Crypto could soon be the new payment method for online services and eCommerce websites.
However, these businesses need to integrate a Crypto payment gateway to accept bitcoin on their website or app. There are many Crypto payment providers, but most of them do not fit the Indian market.
This article will provide you with all the information related to crypto payment along with some of the best crypto gateway services in India.
What Is Crypto Payment Gateway?
In simple terms, Crypto Payment Gateway is a service that lets you accept cryptocurrency as a mode of payment for your goods and services. It can be integrated on your website, mobile app, or to receive payment via a link.
Every payment you make online is processed through a payment gateway like CCavenue, RazorPay, etc. These payment gateways provide payment modes like credit cards, debit cards, net banking, UPI, etc.
On the contrary, Crypto gateway receives payment from the buyer’s crypto wallet and deposits it in the seller’s crypto wallet. The Crypto payment processor also converts and deposits fiat currencies directly in the vendor’s bank account after deduction of necessary charges.
A suitable crypto payment processor could accept all popular Cryptocurrencies like Bitcoin, Dogecoin, Litecoin, Ethereum, Tether, etc.
What Is the Future of Crypto Payment Gateway Market?
Global market has already accepted it
If we consider the global market, cryptocurrency has already taken a huge leap forward as companies like Microsoft, PayPal, Starbucks, Amazon, etc., accept bitcoin as payment.
According to a survey conducted by Hartford Steam Boiler in 2021, 36% of small and medium-sized companies in the U.S. have also integrated the cryptocurrency payment mode.
Online businesses in India are on the way to accept Crypto
The Indian online market is catching up with the global cryptocurrency market. India is the hub of the world’s service industry, with thousands of BPOs, service exporters, and SaaS businesses that need receiving payments from abroad.
As cryptocurrency is free from exchange rates and highly secure with blockchain technology, the crypto payment gateway is one of the best ways to receive international payments.
Besides, the fact that Income Tax Returns for A.Y. 2023-24 would have a separate field for Crypto transactions is an excellent indication that India is very near to the crypto revolution.
Offline businesses may or may not accept it soon
However, there is a doubt related to the future of crypto payment in offline commerce. The rising and falling prices, along with advanced unfeasible technology, might make Indian vendors uncomfortable taking payments through bitcoins from in-shore customers.
In a nutshell, it is just a matter of time when most online businesses integrate Cryptocurrency gateway on their website or app.
Why Businesses Prefer Crypto Payment Gateway?
The First cryptocurrency, Bitcoin (BTC) was invented as a decentralized digital currency free from government control and purview. Since then, Crypto has been used for exchange and as an investment. Here are a few reasons why merchants prefer Cryptocurrency Payment Gateway:
No Geo Barrier: Unlike fiat money, vendors can quickly receive international transfers without regulatory compliance.
No Bank Account Required: Since a digital wallet is used to send and receive crypto currency, vendors don’t even need a bank account to receive payments.
Lower Transactions Fees: The transaction fee made for payments received/made through the payment gateway cryptocurrency is very low compared to other payment methods.
No Chargebacks: Cryptocurrency payment gateways give sellers freedom from chargebacks as completed payments can’t be reversed under any circumstances.
How Does Crypto Payment Gateway Work?
The payment gateway for cryptocurrency works slightly different from other online payment gateways. Crypto payment processors follow a decentralized peer-to-peer network to perform validation process, exchange payment data, and update them in a distributed ledger.
A vendor/ seller needs to open a merchant account for receiving payment. Generally, this is provided by the Crypto payment providers themselves. It has a unique wallet address that serves as the seller’s identity.
The crypto payment service provider provides a Cryptocurrency payment gateway API that could be integrated into a website or app to receive payment. Once your website has the cryptocurrency payment option, here is how a crypto payment gateway work during an actual transaction.
Cryptocurrency Payment Flow
Customers opt for payment via cryptocurrency during checkout (on the web or in the app)
The crypto gateway calculates the required payment in terms of cryptocurrency specified by the buyer
The buyer pays the amount in Crypto through his crypto wallet
Blockchain is scanned using the integrated payment gateway, where nodes confirm and validate the transaction.
Once the transaction is confirmed, the fees is generated. Crypto payment gateway credits the merchant’s account with the desired cryptocurrency opted by him.
Crypto payment processor sends payment to a merchant in the designated bank account or other payment services like PayPal. This is done at regular intervals or as requested by the merchant.
Suggested Read: Best Bitcoin Software for Bitcoin Mining
Pros & Cons of Cryptocurrency Payment Gateway
Now, you have the option to receive payments directly in your crypto wallet by providing the wallet address to a buyer. While this might be a good option for a few transactions, it doesn’t serve the need of businesses.
Advantages of Crypto Gateway
Allows you to receive and validate crypto payments securely
Reduces volatility risk as most of the gateways provide fixed buying and sell rate
Easily automate the payment and verification system on your website
Customer service of the crypto payment process helps to address different problems and delay
Build easy to use a solution like a bank account for non-technical users
Allows users to exchange the Crypto for fiat money or one Crypto to other Crypto easily
Invoicing and reconciliation function
Disadvantages of Using a Cryptocurrency Gateway
The payment goes through a third party and becomes traceable, defeating the primary purpose of cryptocurrency
Transaction fees are considerably higher when payment is received through a crypto gateway
There are more downtimes and payment delays as the payments are completed in multiple steps by the gateway
Your payment gateway account is secured via login id and password, which could be hacked.
List of Best Crypto Payment Gateways in India
Indian vendors must look for the crypto payment gateways that provide services in India and allows adding an Indian bank account to receive payments. Here are some of the most trusted, payment accepting Cryptocurrency payment gateways.
Coinbase is a popular crypto brokerage platform that enables the merchant to transact in seven popular cryptocurrencies. It also provides invoicing features allowing vendors to generate bills based on specified cryptocurrency.
Besides, Coinbase crypto also has an extremely simple user interface, and merchants could get started simply with email signup.
- Hosted checkout pages
- Dedicated account manager
- Integrated invoicing
Blockonomics is another cryptocurrency gateway widely popular for its simplicity and the delightful checkout experience. It allows users to create their payment link for a specified amount, making it flexible for service providers. It easily integrates with WordPress and Shopify and supports both bitcoin and bitcoin cash.
Features of Blockonomics Crypto Payment Platform
- No KYC/Documentation
- Free First 20 transactions
- Custom payment link
Suggested Read: Best Payment Gateways in India For Secure Online Payments
CoinGate payment gateway supports 70+ cryptocurrencies, making it one of the most comprehensive crypto payment processors. It also provides multiple payment options to users like keeping the Crypto, converting it into fiat money, or settling one cryptocurrency with another.
Its inbuilt invoicing feature and powerful integration option make it the first choice for most Indian vendors.
Features of CoinGate
- Multiple pay-out options
- 70+ Cryptocurrency support
- Instant email billing solution
BitPay crypto gateway falls among the most prominent crypto processer, supporting 90+ crypto wallets across 299 countries. Merchants can settle their payments either in Crypto or directly in their bank account without price volatility and zero risk.
It also offers multiuser login access and email billing tools along with daily payment settlement, which is essential for small businesses to maintain cash flows.
Features of BitPay
- Payment settlement in 138+ countries, including India
- Automatically handles payment exception
- Multiuser login access
payWALA is an innovative cryptocurrency payment service providing instant payment receiving solutions through Q.R. code. Merchants can integrate their payWALA account on their website to quickly receive payments in cryptocurrency.
The smartphone app makes it extremely easy for the vendor to manage and reconcile payments. payWALA also provides a card that can be used in any ATM for cash withdrawal.
- Android app
- QR code scanner
- ATM card
Suggested Read: List of 10 Best International Payment Gateways in India
Spectrcoin is another comprehensive crypto payment gateway offering users more than just a crypto exchange. Its unique features like instant pre-order form, customizable payment buttons, POS URLs, and cross cryptocurrency transaction settlement make it a feasible crypto gateway for Indian online service providers.
Spectro crypto also has hundreds of plugins that can be easily integrated with your eCommerce websites.
- Instant settlement
- Bulk order creation
- Fixed exchange rate for a transaction
Prodoge is a unified global crypto payment gateway allowing merchants to receive payments from 200+ countries. It facilitates transactions in DogeCoin, Bitcoin, USD Coin, Digibyte, and Ethereum wallets.
This Payment gateway cryptocurrency also allows users to list their products/services on their global marketplace, helping them expand their business.
- Easy Invoicing feature
- Mobile POS link creation
- Global Marketplace listing
Crypto Payment Platforms: Summing Up
The crypto market has tremendous potential for inclusivity and advantages compared to bank transfer or PayPal, limited by geo boundaries or prolonged payment cycle. Integrating crypto payment gateway in websites and apps would help businesses to receive payment from around the globe in real-time without any compliances.
It is high time that Indian merchants adopt this state-of-the-art technology of payments for expansion, growth, and profitability. Cryptocurrency payment gateway is essential for small and medium-sized businesses as cuts off the all the rocket science behind the cryptocurrency and makes it easy to use just like a bank account.
- Who accepts crypto payment?
Cryptocurrency is generally accepted by online businesses and retailers across the globe. Microsoft, Tesla, and Amazon are leading companies that provide crypto payments.
- What is a crypto gateway?
Crypto gateway is the platform that allows businesses to accept cryptocurrency payments on websites or mobile apps.
- What is a cryptocurrency payment?
Cryptocurrency payment is a model in which consumers pay cryptocurrency like Bitcoin, Dogecoin, or Ethereum to businesses in exchange for goods or services.
- Which payment gateway is best for cryptocurrency?
Every payment gateway for cryptocurrency can have different features and specializations. BitPay or Coinbase of the most popular payment gateway for cryptocurrency.
- How can I accept payments with cryptocurrency?
Generally, there are two ways of receiving payment through Cryptocurrency:
1. Integration on App/Website allows users to pay in digital currency during checkout.
2. POS link allows merchants to create a link to receive a specific payment.