Ethereum is one of the top cryptocurrencies in the world, and predictions show that it is here to stay.
In 2021, Ethereum reached a market cap of USD $250 billion. And experts believe that in 2022, it could grow in value as high as 400 per cent. This can be a promising prediction that could entice crypto investors and enthusiasts to invest in Ethereum.
With this in mind, if you have a business, one of the financial decisions you can make to maximize this potential growth is to accept Ethereum as a form of payment. Moreover, Ethereum has several benefits for your business, such as the following:
1. Faster Transactions
One of the main advantages of Ethereum is that it can confirm transactions in just a few seconds. This is because Ethereum uses a different algorithm than Bitcoin, allowing faster transaction times. Therefore, when your customers are paying for products or services, you may not need to wait for long periods for the payment to go through.
Additionally, you can easily buy Ethereum without going through a centralized exchange. You can do this using a decentralized exchange, which allows you to trade Ethereum directly with another person. This allows you to change your Ethereum into fiat currency easily if needed.
Also, you can easily buy Ethereum if the market favours you. The ability to transact faster and switch between crypto and fiat can put your business at a competitive advantage. To learn more about buying Ethereum, you can check online resources or see it here.
2. Increased Security
Another great reason to accept Ethereum is that it offers increased security to your business. This is because all transactions on the Ethereum network are immutable. This means that once a transaction has been made, it cannot be reversed or tampered with.
Therefore, if a customer makes a payment to you in Ethereum, you can be sure that the payment will get through and not be reversed.
This is in contrast to fiat payments which can be charged back or reversed. This can put your business at risk as you may not receive the payment you are owed. However, with Ethereum, you can be sure that the payment will go through and receive the funds.
This increased security can be a great benefit for businesses, especially small businesses that may be more vulnerable to fraudulent schemes like chargeback scams.
3. Lower Transaction Fees
The main aim of a business is to maximize returns. And one of the ways to do this is by cutting transaction costs and fees. Accepting Ethereum as a payment method can be a good approach to reduce costs, as it has much lower transaction fees than fiat payment methods like credit cards.
For example, a typical credit card transaction fee can cost up to three per cent, while Ethereum’s can cost as low as one per cent or even a standard transaction fee regardless of how large you will transact. This means that more of the money your customers spend will go into your pocket, and less will be taken out in fees.
In addition, if you have to pay for goods and purchase inventories, you can pay using the Ethereum network and save on fees. In the long run, this can help your business to be more profitable.
4. Help Increase Your Market Reach
One of the best ways to grow your business is to have a global reach in your market. This means you can transact with anyone worldwide, regardless of location.
By accepting Ethereum as a payment method, you can do just that. This is because Ethereum is a global currency that can be used anywhere. It is also decentralized, and users can receive and send payments as long as they have a crypto wallet.
This is in contrast to fiat currencies which are generally limited by borders. For example, if you want to do business with someone in another country, you may have to go through a bank or use an international payment service, which can be costly and time-consuming.
However, with Ethereum, you can make and receive payments quickly and easily without borders. This can give your business a competitive advantage as you can reach a larger market than businesses that only accept fiat currencies.
5. Additional Payment Methods Mean More Business
By accepting Ethereum payments, you are not only increasing your security and reach, but you are also giving your customers more payment options. This could be beneficial since, nowadays, some consumers tend to prefer using cryptocurrency as their payment method. For them, such a platform can be easier and more convenient.
Therefore, with this approach, you’re not limiting your customer base to only those with fiat currency. Instead, you ensure you accept and accommodate customers who want to use cryptocurrency. This can help grow your business as you can tap into a wider range of customers by offering them flexibility. As a result, this can help boost your sales and revenue.
6. Allow You To Keep Up With Trends
It is without a doubt that cryptocurrency is starting to revolutionize money and finance today. This is especially true with the rising number of crypto investors and enthusiasts.
This growth is expected to continue in years to come. And one way to keep up and capitalize on this trend is by accepting Ethereum as a mode of payment for your business.
Aside from giving customers flexibility in terms of mode of payment, adopting cryptocurrency in your operations can also show your current client base and potential customers that your business is updated and is continuously evolving to serve them better.
This can go a long way in not just reaching into more markets but also ensuring you don’t fall behind competitors who may already be utilizing Ethereum.
Reasons Your Business Should Accept Ethereum Payments
Here are some reasons to accept Ethereum payments in your business:
- Faster transactions.
- Increased security.
- Lower transaction fees.
- Accepting Ethereum payments will increase your market reach.
- Additional payment methods mean more business.
- Ethereum payments allow you to keep up with trends
There are many great reasons to accept Ethereum as a payment method for your business. For one, it is generally fast, secure, and has a global reach.
In addition, by accepting Ethereum, you are also giving your customers more payment options, which can be beneficial in boosting your customer base. And with that, it can be in your business’s best interest to start accepting Ethereum as a payment method.
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I am Adeyemi Adetilewa, a media consultant, entrepreneur, husband, and father. Founder and Editor-In-Chief of Ideas Plus Business Magazine, online business resources for entrepreneurs. I help brands share unique and impactful stories through the use of public relations, advertising, and online marketing. My work has been featured on the Huffington Post, Thrive Global, Addicted2Success, Hackernoon, The Good Men Project, and other publications.