Why Add Crypto Payments to Your Small Business

Cryptocurrency payments offer unique advantages for businesses. Many customers (especially younger and international ones) prefer crypto. In fact, 85% of merchants surveyed see crypto as a way to reach new customers. This can be a competitive edge: as Deloitte notes, “businesses that offer popular cryptocurrencies at checkout are likely to be more competitive”. Accepting crypto also often means lower transaction fees – a survey found 77% of merchants accept crypto for that reason. Unlike credit cards (2–3% fees), crypto gateways typically charge ~0.5–1% per transaction. For global sales, crypto is attractive because it enables fast, 24/7 settlement across borders, removing the 2–3 day delay common with bank wires. Crypto transactions also have no chargebacks, reducing fraud risk

On the flip side, the crypto market can attract high-value customers: one provider reports crypto customers often make purchases 5–10x larger than average card payments. In summary, crypto payments can broaden your market and save on fees and disputes. But they also bring new considerations – this guide covers both.

Top 6 Crypto Payment Gateways

Several gateways let small businesses accept crypto. We highlight six popular options, including Coinbase Commerce, BitPay, NOWPayments, CoinGate, CoinPayments, and OpenNode. Each has its strengths:

  • Coinbase Commerce: Offered by the major exchange Coinbase, it supports multiple coins and is very user-friendly. Key features: a simple dashboard, integration with Shopify/WooCommerce, and direct fund control (you hold the crypto). It appeals to beginners and shoxxps wanting a trusted brand. However, Coinbase Commerce requires identity verification.

  • BitPay: One of the oldest processors, trusted by many enterprises. It supports Bitcoin, Ethereum, and stablecoins (USDC, etc.). Key features: robust security and compliance focus, automatic settlement in USD/EUR/GBP (so merchants avoid volatility), and integration with major e-commerce platforms. BitPay charges ~1% fee and offers point-of-sale (POS) apps for in-person sales. It’s ideal for businesses needing a proven, regulated solution.

  • NOWPayments: A flexible, non-custodial gateway (meaning you keep crypto in your own wallet). It supports 300+ cryptocurrencies, with auto-conversion to fiat if desired. Setup is easy with APIs or payment buttons. NOWPayments’s standout is multi-coin support and no KYC for low-volume merchants. It’s great for e-commerce sites wanting to offer many crypto options.

  • CoinGate: Supports 70+ cryptocurrencies and excels at crypto-to-fiat conversion. It offers plugins for WooCommerce, Magento, and even POS apps for physical stores. CoinGate automatically converts payments to euros or dollars, shielding you from volatility. This gateway suits merchants selling both online and offline who want seamless crypto integration.

  • CoinPayments: Extremely versatile – it supports over 2,300 coins. It also offers instant conversion to fiat and plugins for most e-commerce platforms. Ideal for businesses that want to accommodate any crypto the customer might use. The trade-off is you need to manage one more interface; its niche is maximizing customer choice in payment method.

  • OpenNode: Focused on Bitcoin only, but uses the Lightning Network for fast, low-fee BTC transactions. If your customer base is Bitcoin-heavy (e.g. a crypto-oriented business), OpenNode minimizes BTC fees. It provides on-chain and Lightning payments and analytics dashboard. It’s perfect for purely Bitcoin acceptance and micropayments.

Each gateway varies in fees and coin support. Refer to the comparison table above for a quick summary. (For more than six options, see the comprehensive Rapyd guide.)

Step‑by‑Step Setup Guide (Choose → Integrate → Test)

  1. Choose a Gateway: Consider your needs (online vs in-store, coins needed, ease of use). Evaluate fees and KYC requirements. According to industry advice, pick a provider with the right technology and compliance controls. If you just want to accept crypto-to-fiat, a custodial gateway like Coinbase Commerce or BitPay is simplest. For more control, use non-custodial options (NOWPayments, CoinPayments). Check that the gateway supports your region and currencies.

  2. Register & Verify: Create a merchant account on the chosen platform. You’ll typically undergo identity verification (upload documents) which can take days to weeks. During this time, review the gateway’s API docs and plugin options.

  3. Integrate into Your Website or POS: Most gateways offer multiple integration methods. If you use e-commerce software (Shopify, WooCommerce, Wix), install the official plugin. For custom sites, integrate via the gateway’s API or a hosted payment button. According to experts, this can take 2–8 weeks depending on complexity. For in-person sales, get a crypto POS device or smartphone app from the provider. Follow the gateway’s guides (e.g. Coinbase Commerce docs, BitPay API docs) closely.

  4. Configure Currencies & Rates: Decide if you’ll settle in crypto or fiat. If fiat, set up automatic conversion. Adjust checkout settings: choose which coins to accept (Bitcoin, Ethereum, stablecoins like USDC). Make sure your pricing API (if any) is updated to reflect crypto prices.

  5. Test Transactions: Run test payments. Send a small amount of each supported coin through your system. Verify you receive correct notifications (webhooks) and that settlements hit your crypto wallet or bank account. Many gateways offer a “sandbox” mode for testing. Ensure email/SMS confirmations work.

  6. Optimize Checkout: Streamline the payment experience. Clearly display crypto logos (for trust). If using a hosted payment page, minimize steps to complete payment. Ensure customers can easily copy the payment address or scan a QR code (as shown in BVNK’s flowchart).

  7. Go Live: Once testing is successful, switch to production mode and announce crypto acceptance to your customers (on your website and social media). Provide instructions or FAQs on how to pay with crypto.

Fees, Supported Coins & Security

Fees: Crypto gateways usually charge around 0.5%–1%, much lower than typical 2–3% credit card fees. However, fees vary by provider and payment method. For example, Coinbase Commerce and BitPay both charge ~1%. NOWPayments’ fee depends on usage (often around 0.5%). Watch out for withdrawal or conversion fees: some gateways charge ~0.5% when converting to fiat. Always check the fee schedule upfront. Overall, even with fees, many small businesses save compared to card processing.

Supported Coins:

  • Coinbase Commerce: major coins (BTC, ETH, LTC, USDC, etc.).

  • BitPay: major coins and popular stablecoins.

  • NOWPayments: 300+ cryptos, plus automatic conversion.

  • CoinGate: ~70+ cryptos (including Dash, LTC, USDT).

  • CoinPayments: 2,300+ cryptos (nearly any coin you can think of).

  • OpenNode: Bitcoin only (on-chain + Lightning).

Choose coins based on your market. Many businesses start with BTC and ETH plus a stablecoin (USDC/USDT) to avoid volatility. Some also accept emerging coins if their customers demand it (e.g. Dogecoin, Shiba).

Security

All reputable gateways use encryption and comply with standards. BitPay, for example, is “known for reliability and strong security features”. You can often enable two-factor authentication on your account. Non-custodial gateways (Coinbase Commerce, OpenNode) give you full control of keys; custodial ones (CoinGate, NOWPayments) hold crypto for you. Decide your comfort with custody risk. In either case, keep your crypto in secure wallets (hardware wallets, not exchange accounts) after withdrawal.

If security is critical (handling large sums), consider keeping crypto off your books by having the gateway auto-convert to fiat. That way, crypto’s volatility and compliance burdens are handled by the processor.

Legal & Tax Considerations for Small Businesses

Cryptocurrency has unique legal and tax implications. The U.S. IRS treats crypto as property, so accepting crypto might trigger capital gains events if you hold it. In practice, many small businesses avoid this by instantly converting to fiat upon receipt (using the gateway’s conversion option). If you do hold crypto, consult an accountant about reporting.

Globally, regulations vary. Ensure you understand anti-money laundering (AML) and know-your-customer (KYC) rules. Most gateways perform KYC on merchants, and you may need to report transactions over certain thresholds. According to Deloitte, companies should “navigate important onboarding considerations, such as regulatory, accounting, and tax issues for which there is limited guidance”. This means you should stay informed about your country’s crypto tax guidance and possibly collect customer information if required.

Payment processing also raises sales tax questions: some U.S. states are clarifying how crypto sales should be taxed. In general, treat crypto payments like any other sale in terms of sales tax. Keep good records (your gateway’s reports help) and follow the advice of legal counsel.

Bottom Line

Adopt crypto payments in a thoughtful way. Use a gateway that handles as much compliance as possible, convert to fiat to avoid volatility, and stay updated on laws. This minimizes risk while you reap the benefits (new customers and lower fees). For detailed business app security tips, see our Secure Business Apps guide.