For many early cryptocurrency adopters, bitcoin has been the most innovative financial advancement since gold coinage. On the other hand, traditional investors like Warren Buffett see bitcoin as a highly speculative asset that is poisonous. But for many business owners, bitcoin can be the beginning of a financial evolution that can redefine your growth potential.
Because of the bitcoin craze of 2017, most people only see bitcoin as an investment opportunity. But it’s also a medium of exchange that many businesses are leveraging to provide buyers with more payment options. Overstock.com, Subway, Microsoft, Intuit, and Square are just a few of the businesses that are accepting bitcoin. Should your business be next?
Many business owners are quick to dismiss anything they don’t understand. This mentality won’t work for businesses that want to remain competitive in a global marketplace. In order to be a sustainable and leading business in the 21st century, business owners should learn as much as they can about advancements that can impact how business is done. This is necessary to make an informed decision.
If you are thinking about accepting bitcoin as a form of payment, here’s what you should consider:
BITCOIN IS A GLOBAL CURRENCY
Bitcoin can be accepted from anywhere in the world without exchanging it for the local country’s currency. As more governments accept bitcoin as legal tender, it has the potential to become the first major global currency. When businesses can easily accept currency from others around the world, it expands their consumer base.
BITCOIN ADDS ANOTHER LEVEL OF SECURITY
Bitcoin is the first decentralized currency to hit the market, allowing a secure transaction that uses high-level encryption to eliminate currency counterfeiting. Some retailers such as Epic Burger and Argo Tea have gone as far as to ban cash payments to enhance their level of security. Businesses that are able to hold a small amount of cash on hand and make use of alternative payment sources are able to reduce their risk of theft. They also have an electronic trail to manage sales receipts.
BITCOIN SPEEDS UP PROCESSING TIME
Bitcoin is one of the fastest payment solutions around because the transaction occurs between two parties: the seller and the buyer. This isn’t the case for credit card transactions. It takes several days for credit card settlements to occur because money must flow through at least three banks to complete the transaction. Using bitcoin as a form of payment allows you to eliminate third-party intermediaries and speed up the processing time.
There’s a lot for business owners to learn about cryptocurrency since it has only been in use by the general public since 2009. While cryptocurrency is making its way into mainstream conversations, business owners should take the time to consult with professionals who can help them understand what accepting bitcoin may mean for their business. The future is going toward digital payments anyway, so why not take advantage of opportunities to learn as much as you can now?