How Small Businesses Can Benefit from Getting into Cryptocurrency
In order to thrive and prosper, businesses need to be on a constant path towards self- improvement..
One of the ways to pursue it is by innovating your business model on a regular basis. By getting into the cryptocurrency business, small and medium enterprises indeed stand to gain quite a bit. First of all, they get a reliable method of depositing and receiving payments. Second, they get access to new opportunities and ways of making their business more accessible to wider audiences. With that in mind and without further ado, here’s how small businesses can benefit from getting into cryptocurrency, today.
1. Accepting crypto as a form of payment
By accepting cryptocurrencies as a form of payment, you’re actually opening up your business to a wide array of benefits. First, you have the advantage of receiving an instantaneous payment with a low transaction fee (depending on which crypto trading platform is used). In other words, it’s something that benefits both you and your clients. This is especially true when it comes to large payments which would otherwise have to be verified. Another reason why this is great with large payments is that the fee is usually expressed in percentage. This means that the amount of payment affects the size of the fee as well.
2. Crypto is safer
Another thing that a lot of people are unaware of is the fact that the existence of blockchain technology ensures that trading in cryptocurrencies is incredibly secure. This technology protects the coins and ensures that the transaction is fraud-free. After a brief research on the topic, both the business and the customer will understand just how advantageous this concept really is.
Also, keep in mind that with the present-day popularity of online payment options, both traditional currencies and cryptocurrencies come down to being the figures on the screen. All in all, there’s no con to this idea.
3. Crypto for employee salaries
When we talk about paying in cryptocurrencies, the majority of people automatically assume that this is reserved for external transactions. However, in this day and age, a lot of your employees have their own cryptocurrency investments. So, why not ask them if they would prefer to get paid this way? Since the end of 2017, a lot of individuals contemplated investing in cryptocurrencies, which is why a lot of people have the necessary software and accounts to do so. Once again, this shouldn’t be mandatory but people should at least have this option.
4. Crypto as an additional source of income
As a business, you might want to look for a way to diversify your sources of income. So, why not consider cryptocurrency mining? Think about it, your electricity bill is high already, and if you add this to the mix, you get to list it as another cost of running a business. This way, you get to create an alternative source of revenue.
In order to make this work, however, you will have to make some investments. First, make sure that your installations can take it. Second, get the right mining equipment. Finally, look for the right trading platform. This way, you always have a plan B.
Tip: try the Gemini trading platform if you're new to trading crypto.
5. Worldwide trading with crypto
Currency conversions are a complex thing and there are a lot of businesses and individuals that can be dissuaded from trading with you based on the fact that conversion fees are unfavorable. Sure, USD is an international trading currency but they might lose a lot of value when they try to convert their own currency into USD. With cryptocurrency as an option, this is a problem that you can easily avoid. Just another thing worth keeping in mind.
6. The taxation of crypto
One last thing worth mentioning is that the question of taxation is quite murky. The fluctuation of the value of cryptocurrency can be considered a capital gain, however, counting the equivalent of the gain in cash value is really not a simple thing. The majority of traditional income laws are definitely valid here, however, it is expected that this method of payment, and doing business with it in general, will see heavier regulation in the future. This is due to more and more businesses recognizing just how advantageous it is and starting to implement it into their own business model.
In the end, it’s incredibly important for you to be able to embrace new technology, especially when it allows you to gain a competitive edge. With cryptocurrencies, these benefits come in many different forms and layers. The most important thing worth keeping in mind is that, as a small business, you need to leverage every advantage that you have. This might just be one of them.
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Diana Smith
Diana Smith is a guest author for Millennial Moderator
