You might have heard about a new digital currency called the “Bitcoin.” It is also known as “Bitcoins” and is becoming increasingly popular these days. If you are not familiar with the concept, well allow me to explain it here briefly. The main idea behind this digital currency system is based on trustless cash.
What exactly is meant by a “bitcoins?” A group of computers operated privately on a secure and protected network, which functions on a distributed application will automatically process all the bitcoins in the transaction. Each and every successful bitcoin transaction will be listed in a block on the relevant computers involved in such an operation. Every transfer is identified by a unique key, also known as a wallet address. This is the main mechanism for making it possible to make a payment.
The major benefit with regards to accepting bitcoins as payment is that there is no need to deal with international currencies. Therefore, any company can now accept this new payment solution worldwide. Companies in US, Canada, EU and Asia Pacific can now easily accept payments made via bitcoins as payment.
The major drawback with accepting bitcoins as payments is that the transfer is very slow. However, this has been worked out by the developers so that it will take just a matter of seconds for the transaction to be completed. In a span of five to ten minutes, a buyer and a seller will have finalized a sale and parted with their respective payments in the form of bitcoins. Thus, one can see how it is possible for a single transaction to go on for several weeks or months. Thus, there is no need to keep large amounts of cash on hand in the form of payment settlements. Moreover, there are plenty of companies these days who are willing to render their services in order to facilitate these transactions on an immediate basis.
One of the many ways through which you can make use of bitcoins as payment is through the use of the coinage website. Coinbase works like a marketplace where different buyers and sellers have come together to facilitate instant transactions. All you have to do is provide the contact details of your business and you can receive the relevant information regarding buying and selling of bitcoins. Moreover, you can use your bitcoins to purchase items from the website such as gift cards and prepaid visa cards.
Another way through which you can use bitcoins as payment is through the use of the send payment software. The software enables you to make the payments to any person you wish to use the internet. This transaction does not require you to carry out the transaction personally. Also, using the program, you are able to make payment transfers to any person in the world for as long as there is a computer connected to the internet. This is done without any delays due to international borders and other restrictions.
There are several types of Bitcoin payment processors in the market and they include the PayPal website, Authorize Net, WorldPay, Paydotcom, iKobo, Xoom, and many more. These websites enable their clients to pay merchants and vendors using the transactional method based on the QR code. The QR code consists of eight quadrants whose height and width are related to the payment amount. This code is sent by the smartphone to the relevant website. Once the code is scanned, the website matches it with the payment amount, sends an alert to the phone, and finally transmits the details to the seller or merchant. This transaction is done exactly as how it happens when you enter your credit card details at a traditional retail store.
Furthermore, you can also utilize your regular bank account to enter the necessary data when you want to make a payment to someone using the transactional method via the internet. This gives you the flexibility of paying using a regular bank account and avoiding the hassle of having to convert your USD balance into another currency. Another option for people who do not want to hold a physical dollar or euro account is to open a free online virtual currency wallet such as the one called Coinbase. With this service, you will only be required to set up a free account. Once this is done, you can start receiving money from your transactions instantly without having to rely on another entity like your existing bank.