The increasing need for cryptocurrency payment gateways, how do they work, and how to integrate them?
The increasing adoption of cryptocurrencies demanded the need of bringing cryptocurrency payment gateways into the world. By considering the advantages of cryptocurrencies over traditional payment methods, more people and businesses are starting to use digital currencies to make payments. Hence, the cryptocurrency payment gateways have come into the picture and are becoming more relevant than ever before.
By integrating crypto payment gateway in the present infrastructure, businesses can increase their customer base. Customers can enjoy the benefits of a crypto payment gateway like making transactions quickly and easily. In this article, we will see what is a crypto payment gateway, how does it work, and the benefits of using it.
What is a Cryptocurrency Payment Gateway?
A cryptocurrency payment gateway allows merchants to accept payments in cryptocurrencies from their customers while buying goods and services. Bitcoin payment gateways exist to facilitate whenever someone is making payments using Bitcoin. A crypto payment gateway helps merchants in offering a new payment method to their customers.
Nowadays most payment processors allow customers to make payments in Bitcoins and other altcoins like Ethereum, Litecoin, Ripple, Cardano, etc. They allow instant transfers of cryptocurrencies and they help business owners covert cryptocurrency into fiat money or vice versa immediately.
When a customer makes a purchase using cryptocurrency, the transaction takes place through the crypto payment gateway at a fixed exchange rate. Some gateways automatically transfer cryptocurrencies into fiat money to avoid volatility. Other crypto payment gateways do not transfer instantly, holding those digital currencies in the merchants' e-wallet.
Though the existing centralized payment gateways used in eCommerce have solved many issues with traditional banking, they have some disadvantages. Crypto payment gateways offer innovative advantages:
Simple setup process
Fast crypto-to-fiat exchanges
Lower transaction fees
Safer and more secure transactions
Provide customized solutions based on the user’s needs
Extend financial reach to the unbanked and underserved regions
How does a Crypto Payment Gateway Work?
The function of a crypto payment gateway is not so different from a traditional payment gateway. One of the differences between them is the currency used. Traditional payments involve fiat money and a crypto payment gateway involves cryptocurrencies. Another significant difference is traditional payment gateway uses credit cards or debit cards for transactions while a crypto payment gateway deals with digital wallets as well as traditional fiat currency methods.
The crypto payment gateway will process all the required information of the merchant and the user to make the transaction successful.
XanPool: Seamlessly Facilitating Fiat-to-Crypto Conversion
XanPool is an automated fiat-to-crypto gateway for crypto beginners and enthusiasts, working with more than 20 crypto native businesses. Crypto enthusiasts can choose to onboard using XanPool's platform directly or using their crypto native partners such as OKEX or Trezor, to enjoy low transaction fee. Our payment gateway has unique features to make the payment and exchanges processes smooth and easy for its customers.
Users of XanPool get instant access to leading digital currencies like Bitcoin, Ethereum, and also the altcoins like Cardano (ADA), Ripple (XRP), Chainlink (LINK) and more. The fiat-to-crypto gateway also allow users to fully take charge of their funds with its non-custodial services.
The whole KYC verification is also automated and takes only 30mins, changing the game on the usual lengthy or long approval time that takes at least a day to process.
Currently, the XanPool's automated proprietary technology has expanded to provide over 12 local payment methods across 10 Asian countries.
Crypto partners of XanPool tapped into the segmented Asian markets via the platform with custom interface for their users to exchange crypto. The top transacting countries are Singapore, Malaysia, and Hong Kong.
How to Integrate XanPool’s Services
XanPool unique advantage is in supporting local payments in various Asian countries with low fees. Businesses can expand their customer base by integrating XanPool’s services by two simple methods.
Widget integration - XanPool widget is responsive and compatible with all the devices like smartphones and desktops. It has pre-built features for making the on and off-board processes of users easy and smooth. Different businesses like exchanges, wallets, and crypto-related businesses can offer crypto solutions to their customer by integrating with XanPool through a widget.
API Integration - The REST API integration of XanPool enables third-party business owners to build a customized interface for their users. Businesses can also integrate with XanPool through the API and offer their customers an easy solution for crypto payments.
Crypto payment gateways have become the need of the hour as the crypto market is emerging as a new financial asset class. Many big companies are adopting cryptocurrencies and offering solutions to make payments in cryptocurrencies. The requirement for cryptocurrency payment gateways is likely to grow further in the near future.