Should your small business accept Bitcoin payments? A newly released Entrepreneur Magazine story listed the benefits and possible risks of accepting these virtual payments. You’d be wise to take into account the rewards and potential pitfalls of accepting these payments that are growing ever more popular on the web.
Is it real money?
Bitcoins aren’t real money – as Entrepreneur says, they are simply pieces of computer code – but they are used as real money by a lot of online vendors. Of course, many of these vendors are shady. But more “real” online businesses are beginning to accept this currency. Entrepreneur lists such reputable vendors as Reddit, WordPress and Etsy as accepting Bitcoin. Bear in mind, too, that Bitcoins only exist after individuals purchase them with real, old-fashioned money.
Safety issues
Bitcoin transactions are secured through a process called public key cryptography encryption, according to Entrepreneur. That doesn’t mean, though, that all Bitcoin transactions are completely safe. Cybercriminals, especially clever ones, can hack Bitcoins. Additionally, there is Bitcoin-stealing malware to worry about.
Why take them?
As a small business owner, should you accept Bitcoins? You might need to in the future to work with certain online vendors. There are several benefits, too, to this online currency. Bitcoin transactions – as of now – are not taxed. Additionally, there aren’t any fees or charges from banks, credit cards or financial institutions involving such transactions.