The customer sees different payment methods at Fondy’s checkout. Among others, there are now payment options with crypto wallets. We work with crypto through the BitPay aggregate system, which offers a choice of 93 wallets.
What is the technical setup for the customer to be able to pay with crypto payments?
To make a payment using a cryptocurrency client will need a wallet application. There are two types of crypto wallets:
Installed on desktop or mobile device. The blockchain log is stored directly on the user’s device in such a wallet. This is a more secure option but requires a lot of disk space. Also, it takes some time for the local wallet to sync with the network.
Cloud wallet. All data in such wallets are stored online, and the provider is responsible for their security and storage.
Fondy supports both types of wallets. A menu with available crypto wallets appears at checkout next to other payment methods. The client can always pay the bill via direct transfer to the merchant’s crypto address if the list of crypto wallets does not include the required one.
How does it work for our merchants?
Merchant bills the customer in fiat currency (GBP, EUR, USD, etc.).
The client receives and pays the bill at a fixed exchange rate via a crypto wallet with a convenient cryptocurrency.
Fondy uses BitPay to convert the customer’s payment from cryptocurrency to the merchant’s fiat currency.
The fiat money is settled into the merchant’s bank account the next business day.
What is the technical setup for the merchant to be able to accept crypto payments?
There are no unique technical settings. But merchants must consider the commission the crypto network will take and the conversion rate used by the BitPay system for each of the currencies. The acquiring commission is paid by the merchant (it is calculated according to the amount specified in the contract we sign with the merchant) and must be included in the invoice. The buyer pays the commission for the transfer in the crypto-network.
Merchant issues bill in a fiat currency (e.g., pound), and BitPay converts this to the currency of the wallet the customer has chosen to pay through. Then this amount, after deducting the acquiring commission, is transferred in fiat currency to the merchant’s account (settlement currency according to the contract).
Are there any special conditions for making cryptocurrency payments for the client?
It is essential for merchants to communicate the terms of payment to the clients correctly. The customer at the checkout will have to scan the QR code or copy the wallet address to transfer the required amount. Сlient must specify he is paying the fee in his wallet because if he does not do this, the payment provider will not receive the required amount, and the service will not be provided.
For example, a merchant issues an invoice for 100 pounds. BitPay calculates that this is 0.0001 of the cryptocurrency. Merchant has to add to this 0.0001 cryptocurrency the commission that the network takes to confirm the transfer. This confirmation is required for the network to ensure the transfer. The higher is commission, the faster payment validation. Usually, people who use crypto wallets are aware of these details. The higher is commission, the faster the payment will go through.
Why did we choose this particular payment provider?
BitPay is a popular and reliable payment system. They have been on the market for 11 years and got a large customer base. We are delighted with the reliability and functionality of their product.
Which cryptocurrencies and crypto wallets do we support
All cryptocurrencies, but not all cloud solutions (wallets). List:
Do we plan to do more with crypto?
Of course. We’re going to expand the list of wallets we support. We plan to make this process as convenient as possible for mobile wallets (integrate into all our SDKs, including iOS & Android SDKs).
We also plan to implement other technical solutions – for example, recurring payments in crypto for wallets that already support them.