If so, cryptocurrency payments might very well be the right choice for your business. Cryptocurrency provides your customers with a fast, secure and convenient way to complete transactions. Here at Edirect, we can incorporate this functionality directly into your website, so that you’ll be able to accept all forms of cryptocurrency moving forward, making us the best cryptocurrency agency Bournemouth has to offer.
What is Cryptocurrency?
Cryptocurrency is, in short, a form of digital or virtual currency which, unlike cash, cannot be physically handled and exists solely in a digital environment. It serves as a medium of exchange and utilises cryptography. Cryptography allows transactions to be both secured and verified and also serves to create new units of a particular cryptocurrency.
In a sense, it is a database which cannot be altered unless a specific criterion has been fulfilled. Cryptocurrencies are, in effect, limited entries in this database. The first of these digital currencies, Bitcoin, was introduced in 2009 by Satoshi Nakamoto as a peer-to-peer electronic cash system. This system is completely decentralised, so there is no central controlling authority.
Of course, any payment system must overcome the issue of double-spending – this is where the same amount is spent twice and is considered an act of fraud. How cryptocurrencies work is by using what is referred to as a Blockchain. In essence, a Blockchain is a public ledger that relates to all transactions that have ever occurred within the network – anyone that participates in the network can view this ledger.
Every transaction made consists of a file containing the wallet addresses of both the sender and the recipient as well as the number of coins that are being transferred. These transactions are taken, marked as legitimate and spread across the network where each node updates and adds the transaction to its corresponding database. Once confirmed, the transaction becomes unforgeable and irreversible.
Complete consensus over the legitimacy of the balances and transactions must be obtained from all participants, and there are rules in place to prevent any issues from occurring. All transactions must also be signed off by the sender first using their private key.
Such factors along with the strong cryptography used make it so that third parties and blind trust are not required – everything is completely secure and above board. One thing to note, however, is that cryptocurrency values can fluctuate wildly, so a single Bitcoin, for instance, might be worth more or less a year from now than it is today.
Cryptocurrencies can be used for anything from purchasing goods and making investments to mining. Miners effectively contribute their available computing power to solve cryptographic puzzles which are required to confirm and record transactions. In essence, miners keep the whole process flowing smoothly and are typically rewarded for their efforts.
cryptocurrencies that have appeared:
• Ethereum
• Bitcoin Cash
• NEM
• Litecoin
• NEO
• Dash
Of course, one way in which businesses can benefit from cryptocurrencies is by accepting them as a form of payment. Cryptocurrency has seen a surge in interest in recent years, and even banks and other financial institutions are starting to recognise its importance. The number of crypto-ATMs located globally is also on the increase, bringing this service to more and more people.
As the leading cryptocurrency agency Bournemouth has to offer, we can add a small logo to the footer of your website which will inform your customers that you accept cryptocurrency. Our team can then incorporate this functionality directly into your website so that your customers will have the chance to use their crypto coins to complete their transaction. As well as hardware terminals, QR codes (containing wallet addresses) and touchscreen apps all offer this functionality too.
With cryptocurrency, you don’t actually store your units of currency; rather, your private key is stored instead. It is this key that is used to sign for transactions. If accepting cryptocurrency payments, a wallet is required to store your crypto funds. There are many different options to choose from, and we can help you select the one that is right for your business.
If you require more information about cryptocurrency or would like to discuss how we can integrate this feature into your website, give edirect, the most knowledgeable cryptocurrency agency Bournemouth has to offer, a call today on 01202 798777.