Crypto Payment Gateway Development: Complete Guide

Successful development and profitability of e-commerce businesses depend not only on a wide range and quality of products but also on the functionality of the online platform. The more diverse payment methods available to customers, the better. Cryptocurrency payments are among the most promising. In 2021, the global market for crypto payment gateways was estimated at $1 billion, and according to Allied Market Research forecasts, this figure will reach $5.4 billion by 2031. This growth is due to the fact that accepting payments in digital currencies offers entrepreneurs numerous advantages:

• Global coverage
• High transaction speed
• Attraction of customers from the crypto community and more

Furthermore, using cryptocurrency as a form of payment allows real-time tracking of transactions and cost savings due to low fees. Agreeably, these are substantial reasons to consider crypto payment gateway development. In this article, we will talk about how the cryptocurrency payment solution from PSPARK can contribute to the development of e-commerce businesses. Additionally, we have gathered platforms for you that will enable you to gain a competitive advantage in the market.

But first, let’s understand what a cryptocurrency payment gateway is and how it works.

What is a PSPARK Cryptocurrency Payment Gateway?

PSPARK, a cryptocurrency payment gateway, is a service that enables the quick and secure acceptance of cryptocurrencies as a payment method. Users are provided with various integration tools, including cryptographic APIs, plugins for e-commerce, invoices, and more.

Our solution allows you to use over 20 different digital currencies for payments, providing a wide range of choices and flexibility. Additionally, the PSPARK gateway significantly streamlines transactions. It offers merchant tools to track every stage of the payment process. You can configure automatic conversion settings to fiat or other cryptocurrencies. Users also have access to tools for managing the volatility of digital currency.

How does a PSPARK Cryptocurrency Payment Gateway work?

Let’s describe the operation principle of our gateway using two main payment processing models: crypto-fiat and crypto-crypto.

Crypto-Fiat Payment

During a crypto-fiat payment, cryptocurrency is used as a means of payment, which is eventually converted into fiat currency. A customer makes a payment using cryptocurrency, and the business receiving the funds gets the equivalent amount in fiat: dollars, euros, etc.

How the PSPARK crypto-fiat payment is carried out:

• Crypto Payment Request: A buyer selects a cryptocurrency (Bitcoin, Ethereum, etc.) for payment of goods or services. The gateway generates a unique address where the customer sends the required amount.
• Processing Crypto Payment: Once the funds are received, the gateway verifies their correctness and authenticity, supporting security and protecting against fraud.
• Conversion and Crediting: The payment gateway automatically converts the cryptocurrency into fiat at the current exchange rate. This amount is credited to the seller.
• Notification and Completion: Both the buyer and the seller receive a notification of payment completion. The customer receives the purchased goods or services, and the business receives the money.

Crypto-Crypto Payment

In a crypto-crypto payment, the customer pays for goods or services with one cryptocurrency in exchange for another without converting to fiat. This payment occurs between two cryptocurrencies without the involvement of banks and financial institutions.

How the PSPARK crypto-crypto payment is carried out:

• Crypto Payment Request: The customer selects a cryptocurrency (Bitcoin, Ethereum, etc.), and the gateway generates a unique address for sending the funds.
• Processing Crypto Payment: The funds are received by the seller’s address, and the gateway verifies their authenticity.
• Notification and Completion: Once the crypto payment is confirmed, both parties receive a notification of the transaction’s completion. The customer can use the purchased goods or services, and the seller receives the money.

The operation principle of the PSPARK payment solution may vary slightly depending on your needs and the specifics of your business.

Importance of Developing a Cryptocurrency Payment Solution for Business

More and more businesses are considering crypto payment gateway development because it is a powerful tool that provides broad payment possibilities. However, this is not the only reason companies turn to this service.

Speed and Convenience

The solution allows for instant transactions without delays, typical for traditional payment systems, which is particularly important for online stores aiming to provide maximum comfort for customers.

Security

The crypto payment gateway uses high-level encryption for enhanced security, protecting customer data from hackers and fraudsters.

Global Coverage

Cryptocurrency usage knows no borders, allowing businesses to accept payments from any part of the world.

Customer Attraction

Implementing a gateway attracts customers seeking reliable payment methods. By accepting digital currency, a business demonstrates readiness for change and new technologies. Moreover, having a service that accepts cryptocurrency increases the loyalty of the target audience and maximizes business efficiency.

Key Features of PSPARK Cryptocurrency Payment Gateway

PSPARK cryptocurrency payment gateway has a number of features that make it valuable for companies looking to accept payments in digital currencies. Let’s familiarize ourselves with the main ones.

Multicurrency Support

Our payment solution allows storing and managing various cryptocurrencies in one place, making the payment process more convenient for customers.

Automatic Conversion

PSPARK gateway provides the option to set up automatic conversion of received cryptocurrencies into the preferred fiat currency. This helps reduce volatility associated with digital currencies.

Simple and User-Friendly Interface

Our payment service has an intuitively understandable interface with clear instructions, making it easy to use for both merchants and buyers.

Transparent Transaction Records

Blockchain technology underlying cryptocurrencies ensures a transparent and immutable record of all transactions and events in the network. This allows sellers to easily verify and track payments.

Anonymity

Cryptocurrency transactions are anonymous, immutable, and irreversible. This eliminates both hackers’ access to payment data and chargebacks that result in losses for the company.

All of these factors collectively contribute to the attractiveness of crypto payment gateway development for companies seeking efficient, secure, and globally accessible payment solutions.

How to Develop a Cryptocurrency Payment Gateway Platform?

Crypto payment gateway development includes standard stages: requirements gathering, design, implementation, testing, deployment, and maintenance. You can independently create a payment service if you have the necessary knowledge and skills. Otherwise, it is advisable to delegate the work to a contractor. To ensure that the payment solution provides maximum benefits, you should take the following steps before development:

1. Define Objectives: Understand for whom and for what purpose the gateway is being created. Determine its appearance, integration with APIs, etc.
2. Analyze the Popularity of Cryptocurrencies: Identify the digital currencies in demand in your region. While crypto payment gateways can accept multiple cryptocurrencies, integrating each new type incurs costs, so it’s wise to focus on the most popular ones.
3. Determine Security Levels: Implement robust security measures to protect user data and transactions. Gain trust and loyalty by prioritizing security.

If you decide to entrust the creation of the service to an external party, choose a crypto payment gateway development company that aligns with your vision. Consider factors such as reputation, experienced blockchain developers, designers with positive client reviews, and firms with detailed portfolios. These tips will help you obtain a high-quality solution, enabling fast and secure transactions.

Advantages of Developing Cryptocurrency Payment Gateways

Accepting cryptocurrency as payment allows you to leverage all the advantages provided by the payment solution.

Reducing Intermediaries

Unlike traditional fiat payment systems, cryptocurrencies do not involve a lengthy list of intermediaries. This significantly increases transaction processing speed and reduces fees. Moreover, if the gateway is non-custodial, your goods and services payment follows a peer-to-peer (P2P) principle—wallet-to-wallet. In other words, the gateway doesn’t hold your funds; they are instantly transferred from the consumer’s wallet to yours.

Protection Against Fraud and Chargebacks

Due to the irreversibility of cryptocurrency transactions, sellers need not worry about fraud and chargeback issues, which can cause significant losses and even lead to the collapse of small businesses. Payments sent through the crypto network are irreversible, with all data recorded in the blockchain. Anyone knowing the recipient or sender’s wallet address can see the time and amount of the transaction.

Simple Integration

Cryptocurrency payment gateways offer various integration tools, from APIs to plugins and invoices. This allows you to efficiently accept payments on any website, app, or even on social media. Additionally, some gateways provide virtual point-of-sale (PoS) terminals for accepting cryptocurrency payments in regular stores. These terminals are incredibly cost-effective, not requiring installation and maintenance expenses.

Difficulties That Arise When Developing a Cryptocurrency Payment Gateway

Crypto payment gateway development can be associated with various challenges due to the unique characteristics of digital currencies and the complex nature of financial transactions. Let’s explore the most common difficulties.

Unclear Task Descriptions

Defining and describing the problem is a labor-intensive process. The end product often doesn’t meet client expectations because the problem description and solution vision are incorrect or insufficiently detailed. This is often due to the client’s lack of technical knowledge and the developer’s misinterpretation of the problem. Such errors can be costly, usually setting the project back to square one.

Integration Errors with External Services

Integration problems with other services during crypto payment gateway development are quite common. Misinterpretation or lack of knowledge about data input characteristics and specifics can lead to errors when integrating services with the payment solution.

User Interface Errors

The user interface is the first thing a buyer evaluates. Even with high functionality, they are unlikely to continue using the service if it’s challenging. When designing the system for modules, it’s crucial to find the right balance between functionality and a user-friendly interface.

As you can see, despite its significant benefits, crypto payment gateway development comes with its complexities. Additionally, it’s essential to consider numerous factors, conduct a comprehensive market and requirements analysis, and budget for development service expenses. A more efficient approach might be to choose a ready-made solution from PSPARK that aligns with your needs and business goals. 

How PSPARK Can Help With a Cryptocurrency Payment Gateway

Our company doesn’t engage in crypto payment gateway development because we offer a ready, efficient solution. The service features an intuitively understandable interface, supports multicurrency, easily integrates, and quickly adapts to your needs. By using our payment solution, you gain: 

• A wide selection of tools and plugins for transactions.
• Low fees for accepting cryptocurrency and converting it to fiat.
• High-speed processing of transactions.
• New opportunities and horizons for developing your business.

You don’t need to spend huge sums on development and tackle a range of arising issues. Our service is one of those that can bring maximum benefits to your business.

Top Cryptocurrency Payment Gateway Platforms

PSPARK

A payment gateway that allows easy and convenient acceptance of over 20 cryptocurrencies on websites. It ensures high security and user-friendliness and offers a wide range of functionalities, including creating and sending invoices and API integration with various content management systems (CMS).

BitPay

A cryptocurrency payment gateway enabling the acceptance of payments in various digital assets. The solution offers fast payment processing and extensive integration capabilities with CMS and online stores.

Coinbase Commerce

A payment service allowing the acceptance of payments in cryptocurrencies. It was created to provide a simple and reliable way to integrate cryptocurrency payments into online stores, applications, and websites. Each of these gateways has its advantages and peculiarities. If you want to provide your customers with a convenient and secure method, choose the innovative PSPARK service.

Open up new possibilities and take your business to a new level with PSPARK‘s solution!

Crypto Payment Gateway Development FAQs

What is the leading crypto payment gateway?

There are many cryptocurrency gateways, each with its pros and cons. To choose the best option, you need to consider the needs and goals of your business.

What is the future of the crypto payment gateway?

The future looks promising as blockchain technologies advance and digital currencies gain increasing popularity. As regulatory frameworks become clearer, more enterprises are expected to adopt such solutions, leading to market growth.

What are the costs associated with using a cryptocurrency payment gateway?

The costs of using a cryptocurrency payment gateway can vary depending on the provider. Common fee structures include transaction fees, representing a percentage of the transaction amount, and fixed fees per transaction. Additionally, some gateways may charge setup fees, monthly subscription fees, or withdrawal fees.

What should merchants look for when choosing a cryptocurrency payment gateway provider?

When choosing a provider, merchants should consider factors such as:

• Licensing
• Reputation in the market
• Risk diversification
• Geographical coverage (local or international provider), etc.