A Journey through the history of trading, currency and the Inherent need for digital money.
The Dollars aricRense of Bitcoin Payments
Bitcoin is a digital currency and a global payment network that is growing in popularity every day, offering unique advantages to businesses in a wide range of industries. But does it make sense for your business to accept bitcoin? Lets explore why it may.
Credit Cards: Designed for an Offline World
Credit cards were never designed for the internet. These lovely pieces of plastic with magnetic stripes were popularized in the 1950s (though the magnetic stripe was not added until the 1970s).
These cards still work well 60 years later when paying in person, but they dont work well for paying online. Customers expect a seamless payment experience — they dont want to fill out credit card information forms for every purchase. Merchants are still being hit by multiple – percentage-point processing fees to securely settle customer payments through the multiple antiquated layers of the card network.
And the costs of the security failures of this system have the most impact on online businesses. Online payment fraud continues to hit record highs year after year and it shows no signs of slowing down. “Friendly fraud” is also increasing, as consumers learn how to abuse the charge-back system. When an online merchant ships merchandise to a shopper, that merchant assumes a risk for up to 90 days. If the payment is disputed by the cardholder at any point during that time, the merchant is usually forced to reverse the
Payment and pay a penalty fee. Merchants bear the cost of this fraud, and ultimately this cost is passed back to honest consumers in the form of higher prices. As businesses use the internet to meet demand from consumers around the world, this weakness is sapping time and money from the online economy, one that should have a payment method of its own.