The financial world is being revolutionized in some ways by cryptocurrencies – and baffled by them in others. It’s hard to find good information about cryptocurrencies like Bitcoin and how they will change credit card payment processing and other services provided by payment gateway providers.
The best merchant services are designed in recent years and created with Bitcoin and similar cryptocurrencies in mind. For those wanting to buy Bitcoin with a credit card or get involved in cryptocurrency investment, however, it can be difficult to decide just how legitimate and just how important these products are.
Understanding Cryptocurrencies
The word “cryptocurrency” is a blanket term used to cover all kinds of digital mediums of exchange that are based on a cryptographic – or codes and solutions – framework. These pseudocurrencies are built around algorithms that make it impossible for the money supply to expand more than a predetermined rate. As with gold or silver, there’s only so much of a cryptocurrency available.
Even harder for some to understand is that these products exist only in the cloud and have no physical form at all. Bitcoin was the first so-called “crypto” and is still the only player in the industry that’s worthy of note. Its transactions are processed in secret and in a way that makes it hard for any world authorities to track it or crack down on it in any way.
The roof or maximum limit on the amount of any cryptocurrency can’t be changed after the source code is publicized. This code is foolproof, but hackers can gain access to users’ secret keys in some cases, potentially compromising the system. Transfers happen almost immediately, and all you need is your secret key to access your crypto.
Cryptocurrency investment has become a real-world alternative to investment in precious metals or government currencies in recent years, but since there is no anchor or agency behind cryptocurrencies, the only foundation of the system is people’s faith in it. Legislation involving these products is almost nonexistent.
Bringing Cryptocurrencies To The Real World
If you find cryptos confusing, you’re not alone. So how does this currency product interact with established financial system? In many cases, the answer is not very well. Converting any saved up or earned crypto into the real world is complex, but more and more people will want and need to do this in the future.
People may also want to use cryptos like Bitcoin in shops and on mainstream websites in increasing numbers, and credit card payment processing software and services must be ready for this. Payment gateway providers must at least consider the possibility of conducting transactions in Bitcoin or other cryptos.
At United Thinkers, we’re constantly monitoring the financial world, even the lesser-understood parts of it. We’re ready for today’s payment processing needs and those of the future.
Contact us now to learn more about how the UniPay payment platform can help your business meet today’s needs and move into the future gracefully.