How Cryptocurrency Payments Have the Potential to Disrupt the Billions-of-Dollar Transaction Fee Industry

<p>One of the several benefits of bitcoin is its minimal transaction costs and quick processing. Whereas shops may pay fees ranging from 1.3 percent to 3.5 percent when accepting credit card payments, a similar transaction using cryptocurrency may cost just a few cents.</p> <p>Why? Blockchain technology excels at decentralisation - eliminating the intermediary in transactions. Rather than passing via four or more middlemen, such as payment processors, assessors, and banks, the payment can be made directly between the buyer and seller.</p> <p>How cryptocurrency payments have the potential to disrupt the payments sector</p> <p>With each passing day, cryptocurrency becomes more mainstream. While there is still much further to go, an increasing number of businesses are now accepting bitcoin payments — even if many do so via a third-party processor.</p> <p>Customers of AT&T, PayPal, and Overstock.com can pay with cryptocurrency. At Starbucks, you may even pay with Bitcoin (BTC) for your pumpkin spice latte. Both Amazon and Walmart have posted opportunities for digital currency workers this year, fuelling suspicion that the retail behemoths may soon join the crypto bandwagon.</p> <p>Given that merchants will pay a total of $51 billion in credit card interchange fees in 2020, any chance to lower transaction costs is certain to attract retailers' attention.</p> <p>And retailers aren't the only players vying for a piece of the billion-dollar transaction fee market. Numerous firms — from crypto exchanges to established payment companies and new crypto-focused payment processors – are prepared to enable cryptocurrency transactions.</p> <p>Charges of between 0.5 percent and 1 percent per transaction are rather common, and some processors charge no merchant fees at all. Additionally, the majority of them provide rapid conversion of cryptocurrency payments to fiat conventional currencies.</p> <p>However, for cryptocurrency payments to take off, the sector must persuade customers to participate.</p> <p>The general publ