Why You Should Accept Cryptos

December 17, 2021

Disclaimers

As always, DYOR (Do Your Own Research). This is provided for informational purposes, only. Consult your own professionals. While this is geared towards NPOS, businesses can use this information for accepting cryptos.

This is a guest post from our associates at 100K Investing. We receive commissions from many of the linked companies here.

Key Points

You can accept crypto, without worrying about price flux.

Use a gateway (think PayPal or Stripe, for crypto), like CoinPayments.

CoinPayments allows you to auto convert between what you receive from clients, into the crypto of your choice. For this, it is suggested to select a stable coin. Common stables include:

  • CoinBase’s USDC
  • Binance’s BUSD (if in the US, join Binance.US)
  • Gemini’s GUSD
  • Trust’s TUSD

When you use CoinPayments auto convert to one of those stables, the companies offer a 1:1 exchange between their stable and the USD. Visit their sites for specifics.

What you can offer

As you may know, the price of cryptos can fluctuate a lot. If you visit a site like CoinMarketCap or CoinGecko, you can get an idea as to the various tokens available, and see how they fluctuate. Not only is there BitCoin, but a few different BitCoin peg:

As you can see, just from these tokens, there are a lot of differences in prices. For traders, and others, there is the problem of taxes. This is where you can position yourself as a nonprofit and accept crypto, so that they can have the tax write-offs, and you can gain new donors.

Here are some top npos that accept cryptos:

How you can accept crypto

While you can create a number of different crypto wallets, an easier way is to use a processing site, like CoinPayments. The advantages of using CoinPayments are that you have one location to accept all of your crypto, and they have a very handy auto-convert.

With auto convert, you can decide what you want your crypto to auto convert to.

I highly suggest Binance’s BUSD, as well as CoinBase’s USDC. Both offer a 1:1 between their stablecoin and USD.

These sites will allow you to accept crypto payments, auto-convert to USDC/BUSD, and then, convert the USDC/BUSD to USD. Make sure that you are aware of each site’s respective fees, as well as fees on the networks.

I cannot recommend TUSD, as they have a $1000 (at this writing) conversion minimum.

Likewise, due to USDT’s high conversion minimum of several thousand, and the long list of controversies, including concerns of no true audits, and that instead of holding cash reserves, they hold “cash and other assets,” may mean you may have a harder time converting tether.

Of course, you can accept donations in TrueUSD or Tether, and auto-convert to USDC/BUSD.

Before Converting

Before you convert to fiat, and even before selecting auto-convert, you should look at the interest offered, staking rewards, and other bonuses. Both Binance and CoinBase allow you to earn on some of the tokens you hold. You will need to visit each site, for their programs’ details.

You may also be interested to earn additional interest on Blockfi and Nexo.

To summarize, you can accept crypto, and have the option to either auto convert them all to a stablecoin, with a 1:1 exchange rate, or earn interest, with an average of 8%.