Cryptocurrency offers several advantages over traditional payment methods, which makes it well-suited for transactions.
1. Lower transaction fees and increased security
One of the benefits of cryptocurrency payments is lower transaction fees than credit cards or other traditional payment methods. Because blockchain technology is decentralized, the absence of a third-party intermediary significantly reduces transaction fees.
Web 3.0 payments are a form of decentralized finance (DeFi) and use secure ledgers to process the management of funds. Automating transactions and money exchange is possible through the core feature of blockchain, smart contract protocols.
Lower transaction fees are of great importance for small businesses. Using credit card payment services most of the time implies a fee for each transaction, which adds up costs. Credit card processing costs, excluding merchant service provider fees, can vary from 2.87% to 4.35% of each transaction.
Another advantage of using cryptocurrency for payments is increased security. With blockchain technology, payments are encrypted and stored on a secure, decentralized ledger. Decentralization makes it much more difficult for hackers to steal or…
