Bitcoin vs. Altcoins: Which Is Best for Merchants?

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Introduction

Bitcoin and altcoins offer merchants versatile payment options, each with unique advantages. While no single cryptocurrency is inherently superior, understanding their differences—and leveraging trusted payment gateways—can streamline transactions without requiring deep technical knowledge.

👉 Discover the best crypto payment solutions for your business


Key Takeaways


Understanding Cryptocurrencies for Merchants

Use Cases and Liquidity

Cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) serve distinct purposes:

Critical Factors for Merchants:

  1. Trading Volume: High-volume coins (e.g., BTC, ETH) ensure liquidity for quick fiat conversions.
  2. Exchange Options: Low-volume altcoins may lack reliable conversion pathways.

Pro Tip: Use tools like CoinGecko or CoinMarketCap to assess a crypto’s market activity.


Crypto Payment Services

1. Payment Gateway Providers

Services like BitPay and Coinbase Commerce simplify crypto acceptance by:

👉 Explore BitPay’s low-fee solutions

2. Exchange-Linked Debit Cards

Platforms such as Crypto.com offer debit cards that:


Practical Implications for Merchants

Why It Matters:

Example: Major retailers like Microsoft and Starbucks accept crypto via intermediaries.


FAQs

1. Is Bitcoin safer than altcoins?

Both are secure when processed through trusted gateways. Direct wallet-to-wallet transactions carry higher risks.

2. What’s a crypto merchant account?

An account with a payment provider (e.g., Coinbase Commerce) that enables crypto acceptance and automatic fiat payouts.

3. Which stores accept crypto?

Microsoft, Overstock, and even small businesses via platforms like Shopify.


The Bottom Line

Cryptocurrencies—whether Bitcoin or altcoins—are viable for merchants when paired with reliable payment processors. Focus on liquidity and gateway support, and let technology handle the rest.