In an announcement, Stripe says that it is enabling its clients to accept Bitcoin payments. The company says that it supports accepting Bitcoin alongside payments from credit cards to its clients wherein they can accept Bitcoin in nearly the same way that they accept credit card payments. However, the key difference lies in how the payment is actually made.
Explaining the method of Bitcoin payment, the company says, “With credit cards, you collect a card number from your user. You can use this card number multiple times, but each time, the user’s bank may choose to decline the charge. Simply collecting the card number does not guarantee access to any particular amount of funds.”
Nonetheless, Stripe also explains that with Bitcoin, there’s no saved number that clients can attempt to charge multiple times or at a later date. Instead, they invert the process by telling their customer how much they need to pay, and providing a way for them to be able to pay them that amount—a place where they can “push” funds.
Thus, officially launching its Bitcoin payments integration following nearly a year of beta testing, Stripe believes that it will now allow merchants in its network that have US dollar bank accounts to accept Bitcoin without any hassle. Additionally, integration for merchants has been made possible through either its API or as part of its Checkout feature.
Talking to media professionals a representative for Stripe said that it is beta test; however, it has delivered promising results, and as part of the testing merchants within Stripe’s network received both domestic and international payments. He further informed that in beta, Stripe merchants accepted Bitcoin transactions from more than 60 countries.
Plans to charge a 0.5% fee for each transaction
He admitted that the company is excited to see what’s next after the successful launch of the beta version. Nonetheless, San Francisco-based company has been moving slowly towards Bitcoin integration, as company executives including CTO Greg Brockman have opined in the past on the technology’s potential.
Interestingly, Stripe began testing Bitcoin payments in March 2014, when it worked on integration with online data backup service Tarsnap. Nonetheless, it plans to charge a 0.5% fee for each transaction.
The announcement says that if some client is an existing Stripe user, he can likely start accepting Bitcoin payments without making a single change to their server-side integration: all API endpoints and dashboard reports support both Bitcoin and credit card payment types.
To contact the reporter of this story: Deepak Tiwari at firstname.lastname@example.org