What is Crypto Acquiring And How Does It Work?

In an increasingly digital world, the concept of money is rapidly evolving. Cryptocurrencies have emerged as a revolutionary force, challenging traditional financial systems and reshaping the way we transact. As businesses strive to keep pace with this digital revolution, accepting cryptocurrencies as a payment method has gained significant importance.

This article explores the profound significance of crypto acquiring and delves into the compelling reasons why businesses should embrace this popular trend.

What Is Cryptocurrency Acquiring?

In traditional acquiring, businesses enable customers to pay with credit cards or other fiat currencies. However, with the rise in popularity and adoption of cryptocurrencies, businesses are recognizing the need to adapt their payment systems to include digital currencies, too.

Crypto acquiring refers to the process of merchants accepting digital currencies, such as Bitcoin, Ethereum, or others, as a form of payment for goods or services. It involves integrating the necessary infrastructure, such as payment gateways or processors in customer experience, to facilitate secure and seamless cryptocurrency transactions.

In contrast to a fiat one, cryptocurrency acquiring opens up new opportunities for businesses by tapping into the growing global market of cryptocurrency users. It offers benefits such as lower transaction fees, faster settlement times, and increased security. Additionally, by embracing cryptocurrency acquisition, businesses of every niche can expand their customer base, stay ahead of evolving payment trends, and position themselves at the forefront of the digital economy.

Aspects Of Crypto Acquiring

As we’ve already mentioned, crypto acquiring refers to the process of accepting and processing cryptocurrency payments from customers. To have a better understanding of how it works with your digital finance, here are some key aspects of crypto acquiring to get acquainted with:

• The integration aspect, which guides businesses to expand their opportunities in financial issues, for example, by connecting a crypto payment gateway into their existing payment systems.

• Volatility management is directly related to specific cryptocurrency price volatility, which can be challenging for merchants who want stable pricing in fiat currency terms. Many platforms supporting crypto acquiring offer special tools that allow merchants to mitigate this volatility risk by instantly converting received crypto payments into stablecoins or fiat currencies.

• With regulatory compliance and various requirements related to cryptocurrencies, acquirers need to ensure suppleness with applicable laws, including anti-money laundering (AML) and KYC regulations.

• Customer support is also involved in crypto acquiring since solving questions or issues related to making payments with cryptocurrencies is one of the crucial aspects of the whole acquiring process.

• The security aspect is a key one in every process with cryptocurrency. Crypto acquiring is not an exception, so various security measures involve ensuring the safety of transactions and protection against fraud and hacking attempts.

Choosing A Crypto Acquiring Provider

Selecting a cryptocurrency payment processor for your business is one of the most important steps, and several factors should be taken into consideration. By carefully evaluating these factors, you can find a perfect cryptocurrency acquiring provider for yourself, your customers and business, in general.

• Integration and User Experience

The first and most essential point is the ease of integration with your existing payment infrastructure. The payment processor should offer seamless integration options, including well-documented APIs, plugins, and SDKs. Additionally, evaluate the user experience provided by the chosen payment processor's interface, ensuring it is intuitive and user-friendly.

• Security and Compliance

Cryptocurrency transactions involve valuable digital assets, making security and compliance crucial. Ensure that the chosen payment processor implements robust security measures such as encryption, two-factor authentication, PIN code system, etc. Additionally, you need to verify that providers adhere to regulatory requirements and compliance standards to protect both your business and customers.

• Supported Cryptocurrencies

Different payment processors support various cryptocurrencies. Assess which digital currencies are popular among your target audience and choose a provider that offers compatibility with those specific cryptocurrencies. It will be better if the crypto payment gateway supports not only the most famous and popular cryptocurrencies, but also little-known ones.

• Transaction Fees and Settlement Period

Compare the transaction fees charged by different cryptocurrency payment processors. While lower fees are desirable, also explore the quality and reputation of service.

• Additional Features and Services

Pay much more attention to any additional features or services provided by the payment processor. Some providers offer value-added services like automatic currency conversion, recurring billing, customizable checkout pages, and analytic options. Utilize these features for your business purposes, as they can enhance your cryptocurrency acquiring experience.

Process of Cryptocurrency Acquiring

Cryptocurrency acquiring typically works on the basic points of crypto payment processing such as integration, customer payment, transaction verification, settlement and reporting.

If we would see it in practice more closely, firstly, a certain business integrates a cryptocurrency payment gateway into its existing payment processing system, then its customer chooses the opportunity to pay with cryptocurrency. The payment gateway calculates the amount due in the chosen cryptocurrency and generates a payment address or QR code for the customer to send the funds to.

Next, the customer makes a payment, and the transaction is broadcast to the respective blockchain network. The payment gateway monitors the blockchain for the transaction confirmation. After the transaction is confirmed, the cryptocurrency is converted into the desired fiat currency (e.g., USD, EUR) and settled into the business's account.

All that leaves is to access reports and analytics related to business transactions if needed. So, the process of cryptocurrency acquiring is quite transparent and simple to understand. However, every business should stay cautious and consider compliance, security, and volatility risks associated with accepting cryptocurrencies.

How To Integrate Crypto Acquiring Into Your Business?

When you’re acquainted with the working process of cryptocurrency acquiring, now it’s time to connect it correctly. Let’s see how you can connect to cryptocurrency acquisition on the example of the Cryptomus payment gateway!

• First of all you need to sign up to a cryptocurrency payment processor. It’s easy to sign up to Cryptomus – just enter your phone number or an email, and then create a strong password. The other way is to log in with Tonkeeper or Telegram. Then create a merchant account to start acquiring cryptocurrency.

• Integrate cryptocurrency payment gateway into your existing payment infrastructure. Implement API or plugins provided by Cryptomus. This step ensures that your business can receive and process cryptocurrency payments seamlessly.

• Once you receive cryptocurrency payments, you may choose to convert them into fiat currency to maintain stability and reconcile your finances. With Cryptomus it is so easy to withdraw your funds in fiat – simply sell your funds on the Cryptomus P2P Exchange and receive fiat on your credit card!

• Start accepting cryptocurrency payments with peace of mind!

That's all for now! The future of cryptocurrency acquiring is shaped by emerging technologies and the growing acceptance of digital currencies in the payment industry. By recognizing and embracing these trends, businesses can stay ahead of the curve, unlock new avenues for growth, and establish themselves as leaders in the ever-evolving world of digital finance.