Bitcoin, which many buy as an investment, is increasingly being used to pay for goods and services. In 2021, the global bitcoin payments market was estimated at more than $850 billion. Experts believe that this value will cross the milestone of $3788 billion by 2031. It is bitcoin that is the most popular option among those who plan to use cryptocurrency as a means of making payments. More than 65% of crypto users owned it in 2022.
We will tell you how to pay with bitcoins for your order, what goods and services can be purchased with its help, as well as what are the advantages of this payment method.
Advantages of Paying for Goods and Services in Bitcoins
Paying with bitcoin is beneficial to the buyer for a number of reasons:
- Low commission. Its size does not depend on the amount of the transaction, but is calculated based on the «weight» of the transaction and on average is 1.47 dollars. The size of the commission is due to the network load, but remains consistently less than the fees for fiat transfers, especially for cross-border transactions.
- Transaction security and transparency. In a blockchain network, a transaction cannot be tampered with, canceled or altered after-the-fact. Both parties maintain confidentiality.
- Independence from regulatory and financial organizations. Cryptocurrency makes it possible to conduct cross-border payments even in conditions of sanctions and restrictions.
- Convenience and accessibility. More and more companies give their clients the opportunity to perform bitcoin payments.
What You Can Buy in BTC
There are companies and online stores that accept Bitcoin payment. The number of such services constantly grows. We will list only a few categories of goods and services that can be paid for with this cryptocurrency:
- IT products, internet services, video games, e-commerce tools. Internet payment with bitcoin is accepted both by entertainment services (for example, the streaming platform Twitch) and website builders (WordPress) and online stores (Shopify). Cryptocurrency can also be used to pay for Microsoft products (including the Xbox store).
- Tickets for planes and trains, hotel rooms, tour organization. Several companies for travelers offer the ability to pay with bitcoins, including Bitcoin.Travel, AirBaltic, CheapAir, and Surf Air.
- Tickets to sport and entertainment events. One of the examples is Dallas Mavericks basketball team games.
- Merchandise at offline and online retailers. Major online marketplaces include Amazon, eBay and Overstock. Bitcoin can also be used to pay at Home Depot and stores of brands such as Balenciaga and Gucci.
- Food and drink. Cryptocurrency is accepted by Starbucks coffee shops, some branches of Burger King and KFC, and Coca-Cola vending machines. Bitcoin Coffee was opened in the Czech Republic, where you can pay only in cryptocurrency.
- Cars, yachts, airplanes. Buyers of Tesla electric cars can pay with bitcoins in the online store Alza. Yachts and catamarans can be purchased from Denison Yachting, while airplanes can be purchased from SkyCraft and other manufacturers.
- Real Estate. You can buy real estate in China (Fäm Properties), Brazil (Gafisa), Turkey (Gold Ahiskali) for cryptocurrency.
- Jewelry. Examples: jewelry company Samer Halimeh New York and online store JM Bullion.
A number of other major brands and small startups accept cryptocurrency, and their number continues to grow.
How to Pay with Bitcoins: Basic Methods
There are three main ways to pay for goods with bitcoins: direct transfer from wallet to wallet, use of processing or cryptocurrencies. We'll take a closer look at each option.
Directly from a cryptocurrency wallet
Transferring bitcoin from wallet to wallet is technically the simplest method. Nevertheless, it can be inconvenient for the customer, as they need to convert the order amount into cryptocurrency, correctly enter the wallet address and choose the network himself. After that, you need to make sure that the payment has been received.
Read our article «Tips for choosing a cryptocurrency wallet».
Through crypto processing
Cryptocurrency acquiring works like a banking one. The buyer only needs to choose a cryptocurrency on the checkout page. The system will automatically perform the conversion and generate a QR code for payment. The processing service confirms the transfer and provides a check.
Cryptocard is an analog of the usual debit card. It allows you to make transactions with cryptocurrency, as well as to pay with it where only fiat is accepted, the conversion is performed automatically. The disadvantages of this method: service and conversion fees, the need to undergo KYC and withdrawal limits.
How to Pay for Goods and Services with Bitcoins: Detailed Instructions
To pay with bitcoin for an order in an online store, a subscription to a service, a company's services or another product, you just need to follow a few steps:
- Purchase bitcoin. One of the easiest ways to do this is to use P2P-platforms or sign up for an exchange. Some processing services offer to buy cryptocurrency right on the payment page.
- Installing a wallet application. The app will allow you to easily transfer cryptocurrency and perform other operations. It contains private and public keys — bitcoins themselves are stored in the blockchain network. Keys are needed to access the account (private) and send funds (public).
- Search for a service that accepts bitcoins. You need to make sure that the chosen company gives the opportunity to pay for orders in cryptocurrency, or find an online store that accepts crypto payments. If you have a cryptocurrency card, you can pay with bitcoin in any stores, including offline.
- Making a payment. Paying with a cryptocard is similar to paying with a regular debit or credit card. If the website is connected to cryptocurrency acquiring, you only need to select bitcoin as a payment method on the checkout page.
The system converts the order amount, calculates the commission, displays the wallet address, network and a QR code that can be scanned to simplify the payment process. After that, you need to go to your wallet app and transfer the required amount to the specified address.
- Order Confirmation. If the seller uses crypto processing, the order will be confirmed automatically as soon as the transaction is processed by the blockchain network. If the transfer is made directly from one wallet to another, it may take longer: the seller must confirm the order manually.
Bitcoin is the Modern Way of Payment
More and more companies accept payment in bitcoins and other cryptocurrencies. It is convenient for both parties, safe, anonymous and profitable due to the low commission. With cryptocurrency, you can pay for goods or services of foreign companies without facing restrictions from banks or the government.
Crypto processing is the most convenient way to make crypto payments, as it involves full automation of transaction processing. CryptoCloud is a service for acquiring cryptocurrencies, which provides a wide range of functionality. For more details about the service, please see the FAQ section.