With nearly everyone talking about cryptocurrency and some investing in it, it may elude you what these digital coins can actually be used for. The 2020 fiscal year is already here, and you might be thinking of finally venturing into the cryptosphere as early as possible. Well, to have crypto assets is one thing, but figuring out how you can spend them is another. Bitcoin was designed to serve as a digital currency, but without the need for banks and national treasuries to play regulator.
These coins are traded via online crypto exchanges located in different books of the interweb. In fact, most people spend digital currencies like regular money. However, there are several other use-cases for Bitcoin and altcoins. A good number of the other commonly said “potential” applications for crypto have an aura of futuristic speculation around them. But it is actually possible to use these currencies in everyday purchases.
Crypto Debit Cards
One way you can spend your crypto money is by connecting it to a debit card. When you do so, you will be able to spend it like fiat money. These debit cards are issued by major credit card companies such as Visa and MasterCard. So that means anywhere these payment options are accepted, you can spend your crypto. Examples are Shift Card, CoinsBank, Xap and Uquid.
To different types of crypto, there are different cards available. Most of them are connected to set crypto storage and marketplace options. So when you are deciding the way you will be spending, this is something you should put into consideration. For Bitcoin, more of such cards are up for grabs, because it is the most popular digital currency. Be as that may, other currencies are beginning to catch up.
Buying Stuff Directly
Even though the wallet/debit card combinations are the easiest ways to ready your cryptocurrency for spending, they do involve fees. Many people do not like having to pay fees to spend their own money. So if you would like to spend your currencies directly and at no cost, there are several online retailers that accept your Bitcoin as a form of payment. It is pretty much common knowledge now that many retailers that accept cryptocurrencies use third-party processors, including BitPay and Cryptopay.
An excellent example of such a platform is Pizza For Coins, a website where you can order a meal from many local pizzerias and get the pizza delivered to your doorstep. This is one of the few platforms where you can pay for an order with a selection of more than 50 different cryptocurrencies. If you happen to be heavily invested in altcoins, you can have a quick bite in a jiffy. If history’s anything to go by, the first thing bought with Bitcoin was a pizza. Makes sense.
The Network Itself
The number of viable places you can spend cryptocurrency is on the increase. One of the most valuable is the network itself, which is typically the best to spend because of the kind of utility offered on such platforms. So doing, there a few cryptocurrency projects that could suffice, which you can support, including Ethereum, Eos and Neo.
The developers of dApps (decentralized apps) that act as a place to spend digital currencies will drive adoption. Spending your digital money on the network is good for the common. But do note that these networks have fees. Ethereum calls it fees gas, which happens with each transaction. The fees help to avoid spamming the network and assist the miners who serve as nodes.
You might want to know the payment processors that allow you to spend your crypto coins. While some big corporates and newer startups accept this form of payment, the trend is growing outside like a bunch of payment processing systems are beginning to create an avenue for Bitcoin-bases transactions. These systems are popular with nonprofits, small businesses and even bigger retailers in the market. A prominent example is the e-commerce platform called Shopify. Its processing system, used by a lot of small companies, accepts Bitcoin payments.
Another great example is the well-known payment app Square. The platform is establishing a Bitcoin marketplace that enables customers to buy products and pay for services using cryptocurrency. Stripe, another payment processor, also allows companies to integrate a Bitcoin payment form into business websites. Since these recognized payment processors are hopping on the crypto-accepting bandwagon, you should be able to spend that Bitcoin in a lot of online shops.
Due to the volatile nature of Bitcoin alongside its relatively scary transaction fees, brick-and-mortar stores have found it somewhat difficult to get in the groove and accept crypto payments. Nonetheless, some stores can help you spend your crypto coins, even though they do not accept the currency directly. Typically, the process works in semblance to the Cash app and other smartphone banking initiatives.
The vendors will generate a code for you to scan with your smartphone. The information will then interact with the crypto wallet on the device to initiate the transaction. Using sites such as Coinmap, you should be able to find retail stores that accept cryptocurrency in your area. In larger cities, there are naturally more vendors in the fold, while mileage varies in rural areas.
Most of the businesses that embrace crypto usually only process Bitcoin payment because it is the best kid in the block. But other enterprises accept other crypto coins (altcoins). So if you have some Ether, Ripple, Dash or Monera lying around in your wallet, here are places you can spend them.
Uquid: This card, which also supports bitcoin, works with 89 other cryptocurrencies, including ethereum, ETC, augur, and emercoin, among others.
TenX: As mentioned above, TenX currently supports Bitcoin. It is currently beta testing support for Ethereum, ERC20, and DASH.
Polybius: This is an up-and-coming project that will take bitcoin, as well as a variety of other cryptocurrencies.