Cryptocurrency is a viable investment that offers an alternative to traditional options like shares and foreign currency. And, as crypto has become more widespread, it has become easier to use the likes of Bitcoin to buy big-ticket items. Thousands of businesses around the world now accept Bitcoin and innovative solutions are being released that make it easier to purchase groceries or even pay for leisure activities using your cryptocurrency balance.
The ability to spend cryptocurrency on everyday items has long been an obstacle to its mainstream adoption. But, options are improving. It can be used to pay for online gaming, and not just blockchain gaming. Those in the technology sphere can use it to securely pay for hosting and domain protection. Some hotel and flight booking services also accept Bitcoin. Gaming platforms, like Steam, now accept crypto to pay for gift cards (via a mediator). iGamers can also take advantage of casino cashback offers when using Bitcoin, Dogecoin, Tether, and other cryptocurrencies to fund their accounts, and will also enjoy faster access to any winnings they make in doing so.
But let’s now see what payment methodologies crypto users should apply to pay for such activities smoothly.
Spend It Directly
It is possible to spend cryptocurrency directly with some companies. This can mean sending payment from your crypto wallet to the recipient’s wallet. Alternatively, though, payment gateways exist that enable buyers to pay with crypto, which is then automatically converted to fiat currency, making it easy for business.
Most companies that accept cryptocurrency take a few different coins with Bitcoin being the most commonly accepted.
Ethereum, as the second biggest crypto, is also widely accepted, while Litecoin’s legacy as one of Bitcoin’s main contenders, means it is also a common payment method.
Dogecoin’s surge in popularity and its celebrity endorsements make it a common choice – especially on gaming and iGaming websites.
Tether is another popular coin. As a stablecoin, its value is tied to the US Dollar, which means retailers and businesses aren’t subject to cryptocurrency’s volatility when they use this currency.
Use A Crypto Debit Card
The advent and greater availability of payment gateways means businesses are expanding to include crypto payment options. But this isn’t true of all businesses. High-street options are still limited, for example. It is a challenge to pay for utilities, groceries, and everyday shopping using native cryptocurrency payments.
However, it isn’t just businesses that are enjoying the benefits of more options. Consumers can now use crypto debit cards. Standard bank accounts don’t accept and can’t hold cryptocurrency, which means bank cards and traditional credit cards can’t be used to make cryptocurrency payments.
Some crypto debit cards work similarly to prepaid credit cards so users load them with crypto funds. Others link directly to the individual’s crypto wallet.
The card can then be used anywhere that credit cards are accepted, and the crypto funds are automatically converted to fiat currency before payment is made. The retailer receives funds in their local currency and never really knows that the individual has used crypto to make the payment.
Withdraw From An ATM
Another way that the cryptocurrency industry is borrowing from traditional banking systems is in the use of Bitcoin ATMs. Bitcoin ATMs are fairly uncommon but where they exist they offer a simple way of converting Bitcoin to local currency and withdrawing it.
Bitcoin ATMs can be used to buy cryptocurrency, as well. Users insert cash or their debit card and use funds to buy their chosen crypto.
They can also be used to withdraw local currency. Users verify their identity at the ATM, typically using a code sent to their mobile phone. They then choose to withdraw cash, enter the amount they wish to withdraw, and scan the QR code provided using their mobile phone. Bitcoin is sent to the ATM operator, converted to local currency, and provided to the user.
Buy Gift Cards
There are also dedicated websites selling gift cards that accept Bitcoin and other cryptocurrencies. Gift cards are available from a vast array of retailers including Walmart, Amazon, and Apple as well as Deliveroo, Sainsbury’s, and more.
Users simply visit the voucher site, send money for the card, and then receive a digital gift card to their email address. The gift card can be used online or, in some cases, scanned at a physical retailer and used to buy goods and pay for services in person.
