Crypto Payment Gateway

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All you Need to Know About Crypto Payment Gateways
leewayhertz.com/crypto-payment-gateway
Blockchain has revolutionized major industries
like healthcare, retail, entertainment, supply
chain, etc., and it is rapidly making its way
into the payment industry. The modes of payment
are evolving fast, from physical currencies to
digital money to cryptocurrency, and with that
the payment systems also keep evolving with time.
Although the traditional payment systems are
effective in many ways, yet they have major
limitations, such as delay in a cross-border
transaction, lack of automation, and the
involvement of intermediaries. Businesses across
the world do realize these setbacks. Moreover,
they also look for a better payment system to
improve certain areas like the supply chain and
retail, where its crucial to maintain a balance
between the flow of goods and money. Decentralize
d payment gateways have emerged to resolve these
issues and provide merchants with a robust
payment system. Powered by blockchain, crypto
payment gateways gathered much hype with their
ability to enable the payment and acceptance of
cryptocurrencies on a transparent network. Like
other industries, the payment industry also
utilized the native abilities of blockchain to
ease up the way crypto payment is done. Crypto
payment gateway is a perfect example of an
innovative payment system prevalent among other
digital payments alternatives, and enterprises
are adopting it on a high scale. It allows users
to make and accept payments in cryptocurrencies.
Lets dive deeper to understand how the crypto
payment gateway works, its features, and its
benefits. In a nutshell, we will provide answers
to the following questions What is a crypto
payment gateway?
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A crypto payment gateway is a dynamic payment
processing platform that allows merchants or
vendors to accept payments in multiple
cryptocurrencies without risking security. For
users, it facilitates direct payment from their
cryptocurrency wallet to another. In addition to
its core functioning, these payment gateways also
bear the responsibility to safely transfer the
payers sensitive wallet-related data to the
merchants software. With more businesses looking
for the most gainful, secure, and instant payment
modes, this payment network is increasingly
adopted in all-sized organizations. The crypto
payment gateways are built on the blockchain
ecosystem that serves benefits like immutability
of records and transparency in the transactions.
Moreover, the decentralized nature of blockchain
eliminates intermediaries such as bank from the
payment procedure, which improves the transaction
speed and shorten the payment processing steps.
This system ultimately encourages more people to
use digital currencies and contributes to the
growing popularity of decentralized
gateways. Crypto payment gateways offer a few
unique advantages to both the customer and
merchant apart from quickly validating the
transactions and removing third parties from the
payment system. Following are some of the
must-have components of a standard crypto payment
gateway For User Home page User sign-in/sign
up My profile Dashboard My wallet feature with
withdrawal functionality Deposit and withdrawal
history Transaction history Merchant tools API
key generation Account settings For Admin Admin
dashboard Admin sign-in View users View user
deposit and withdrawal history Merchant payment
history Merchant details API category Security
settings Support system Content management
system What are the benefits of a crypto payment
gateway?
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Freedom from chargebacks Once the cryptocurrency
payment is processed through the payment gateway,
it doesnt allow chargeback or refund. This
feature attracts entrepreneurs who own high-risk
businesses. Anonymity Unlike centralized payment
gateways, decentralized payment gateways neither
ask for registration nor KYC (know your customer)
for verification purposes. Instead, it allows
users to join the network anonymously. Anonymity
is beneficial for vendors who sell digital assets
and are concerned about privacy. Instant
processing With no intermediaries, crypto payment
processing becomes extremely fast, which takes
even less than 10 seconds. It allows merchants to
accept crypto and then quickly exchange them to
fiat anytime. How does a crypto payment gateway
work? Understanding the mechanism of crypto
payment gateway is not difficult for those versed
with traditional payment gateways. Crypto payment
gateways are powered by blockchain technology.
They replace the credit card with a digital
wallet that requires merchants to open a merchant
account to accept payment in cryptocurrencies.
Thus, the transaction occurs on a decentralized
peer-to-peer network where nodes exchange payment
data, perform validation, and send them to the
distributed ledger. Note that the wallet address
here serves as an identity for both parties
involved in the payment process. Whenever a
block containing data is added to the chain,
blockchain keeps the transaction details saved
and ensures the transactions immutability
simultaneously. Hence, a crypto payment gateway
allows people to send crypto coins for a
particular product or service through a
decentralized payment model. Below are the steps
that explain how the cryptocurrency payment
gateway operates in the real world. When a user
places the order, the application records payers
data (such as wallet address, etc.), encrypt it
and send the details to the merchants web server
via SSL connection. Using the integrated payment
gateway, the merchant scans the blockchain where
nodes validate and confirm the transaction. Once
confirmed, the coins are transferred to the
merchant account, and the payment gateway will
notify both parties about successful payment the
moment verification is done on his end. The
cryptocurrency payment gateway also allows the
merchant to convert coins into fiat anytime at
the real-time value of the currency. This way,
merchants can accept payment in different
cryptocurrencies and deposit funds into their
merchant account in a wide variety of fiat
currencies.
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What are the main features of a crypto payment
gateway? Although the features of a crypto
payment gateway are customized according to the
business needs, the following are the must-have
features of an advanced payment gateway
solution. Peer-to-peer transaction Merchants,
retailers, and businesses receive payment
directly from the customers across a peer-to-peer
system by integrating a decentralized payment
gateway into their existing payment model. This
attribute speed up the transaction time brings
two major benefits speedy transactions and
secure access to the payment gateway. No
intermediaries The cryptocurrency payment
solutions eliminate the role of third parties and
mediators from the payment system. So, the
payment directly reaches the merchant from the
customers wallet, which avoids high transaction
costs. Cross-border transactions While a fiat
transaction requires 5 to 15 days to complete,
the crypto transaction takes a few minutes. Such
a faster speed of transactions helps all sized
businesses (small, medium, or large) to complete
payments on import and export of goods
quickly. Easy integration Cryptocurrency payment
gateways are easy to integrate into an existing
application. Merchant can integrate the crypto
plugin to their desired application and start
accepting payment in cryptocurrency. Real-time
exchange The Crypto market is highly volatile,
where the value of currencies can rise or fall
quickly. In such scenarios, the real-time
exchange feature makes a payment gateway capable
of converting coins into fiat at any time. Some
exclusive decentralized payment gateways move a
step further in embracing advancement, and they
avail live price charts and other market
information on the platform itself. OS
Compatibility Decentralized payment gateways are
fully compatible with different operating
systems Android, iOS, and Windows. Merchants
dont need to configure their device or
application specifications to integrate the
payment gateway into it. Auto Settlement
option With a flexible auto settlement option,
one can easily connect the payment gateways to
exchange (s) to instantly convert
cryptocurrencies into mainstream currencies,
stable coins, or fiat. For example, the user can
exchange coins for USD, TUSD, USDT, and USDC
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by integrating the payment gateway to prominent
crypto exchange platforms like Binance and
Bittrex. Donation facility Many renowned
non-profit organizations such as UNICEF and the
American red cross have started accepting
cryptocurrencies as donations due to the growing
prevalence of digital currencies among people.
This trend makes it important for cryptocurrency
payment gateways to offer donation features. This
feature should show some essential details to the
payer like wallet address, list of currencies, QR
code, etc. What kinds of crypto payment gateways
are relevant today? Based on the demand, the
digital wallet is customized to support either
single currency or multi-currency. A perfect
crypto payment gateway should provide customers
with many options to make crypto payments using
QR code, NFC, and URL for their
convenience. Also, it should complete
transactions in mere seconds to simplify the
payment operations with the real-time settlement.
At present, two types of crypto gateways are
relevant among businesses which are explained
below. DeFi crypto payment gateway DeFi crypto
payment gateway provides users with full control
over their funds via private keys. These kinds
have non-custodial characteristics and are
embedded with exclusive security to offer ease of
use. Together, users enjoy a transparent
financial ecosystem with no third parties
involved in the whole payment process. Multi
cryptocurrency payment gateway As the name
suggests, a multi-cryptocurrency payment gateway
allows merchants to accept multiple cryptos as
payment from buyers and allows buyers to make
payments in different cryptos. This payment
gateway is essential for merchants involved in
international trade who accept payment from
people worldwide with zero network fees.
Additionally, a multi-crypto payment gateway
eliminates the need for any intermediates, like
other blockchain-based payment gateways and
wallets. Some of the popular crypto payment
gateways Coinbase NOWPayments Blockonomics
Coingate CoinPayments How can LeewayHertz help
you with crypto payment gateway development?
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At LeewayHertz, we develop secure crypto payment
gateways for enterprises and startups. We also
integrate these gateways into existing payment
solutions of businesses. Our blockchain experts
are well-versed with the latest technologies
required to develop feature-rich crypto payment
gateways for business. For the development of a
crypto payment gateway, we use the following
technology stack. Front-end development React JS
for the front-end development. Java for Android
development Swift for iOS development Back-end
Development We use back-end programming languages
like Python, PHP, etc., database servers, and web
frameworks to develop blockchain-based payment
solutions. Smart Contract Development Solidity
Golang Rust Our services related to crypto
payment gateway To provide you with a robust and
secured Crypto payment gateway system, our team
delivers additional services. Through
customization, you can further add any features
as per your requirement. Some of our crypto
payment gateway related services are Crypto
wallet development Our team develops a secure
crypto wallet to help you provide your users with
the facility like the ease of checking crypto
balance in their account, saving cryptos, and
monitoring the existing currencies. We also make
sure this crypto wallet is integrated well into
your crypto payment gateway to allow your users
to send and receive multiple cryptocurrencies
quickly. Mobile Apps We develop secure and
responsive mobile applications as per the
specific needs of your business. It performs the
entire functions of a desktop-based crypto
payment solution. With mobile apps, your users
can log in to their account and accept payments
and convert cryptos instantly from anywhere,
anytime. All they need is correct login
details. API plugins Our team develops a unique
and customizable API to automate the payment
method. Besides payment transactions, this API is
equally useful for managing non-payment
facilities.
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Multiple payment options We develop crypto
payment gateways that allow your users to convert
fiat to cryptos irrespective of their payment
medium. It can be credit cards, debit cards, wire
transfers, and even other crypto
coins. Multi-currency exchange We offer
decentralized payment gateways that support
payments in multiple cryptocurrencies, including
Bitcoin, Ether, ADA, AVAX, and more. It helps
your users to accept and make payments using any
cryptocurrency they want. Conclusion Owning a
cryptocurrency payment gateway that is designed
according to your business specifications is
undoubtedly valuable. Organizations that plan to
expand their scope of operations must integrate
blockchain-based applications or decentralized
solutions into their existing payment system.
With its benefits, such as instant transaction,
multiple wallet integration, and high security,
merchants can drive a lot of attention from
crypto enthusiasts. If you are looking for a
company to develop a cryptocurrency payment
gateway, contact our blockchain experts. We
develop diverse customized, secure, and multi-
currency wallet and decentralized payment
solutions which are robust and easy to set up.