Interview with business owner who accept Bitcoin as payment method

[SatoPrincess]

I recently visited a locally owned business that accepts bitcoin as payment method. I was so excited to see someone who isn’t on BTT accepting bitcoin as payment method. It shows that bitcoin adoption is spreading across the world. The store had a beautiful signage on the exterior and interior of the store that displays “Bitcoin, USDT, Enaira Accepted”



After window shopping, I had a little chitchat with the owner and asked if he would be open to chat about his experience which he agreed to. I texted him 11 questions, it took a while but he finally replied with answers to all of them.

This is how the interview went:

1. When and why did you decide to start to accept Bitcoin and other crypto as payment methods in your business?

“I thought it would be a good way to attract customers who like cryptocurrencies. I have been doing this for about three years and I have had this business for four years.”

2. How has this decision affected the growth of your business over the years? Do you still see your business accepting Bitcoin as payment in the next ten years?

“Business has been good. People here are not used to seeing small businesses accept crypto as payment and are fascinated when they are offered the option of paying in crypto. It has opened me to a new network and I’m grateful I made the decision to include crypto payments in my business. I still see my business accepting Bitcoin as payment in the next ten years. But I cannot say what the price of Bitcoin will be in ten years time.”

3. What’s your government’s stance on Bitcoin and cryptocurrency? How has that affected your business?

“Bitcoin is not illegal in Nigeria. I also accept E-naira which is a cryptocurrency endorsed by the government.”

4. Who are your main customers?

“I sell electronics, gaming consoles and gadgets. A large portion of my customers are males. The gamers are not new to crypto, most of them have used bitcoin to make in game purchases so when they come here they are more than happy to pay on bitcoin.”

5. Which cryptocurrency do your customers pay with the most? Bitcoin, Usdt or E naira? And which is your favorite?

 “I have never had a customer pay with E-naira.  Bitcoin and usdt are the favourites.”

6. Do you offer discount for customers who make payments in Bitcoin and other accepted cryptocurrencies?

“No I don’t.”

7. How do you deal with high fees in Bitcoin? Do you use lightning network?

“No, I do not use lightning network. Bitcoin is one of many payment options available. Customers can choose to pay in usdt, E-naira or fiat when bitcoin fees are high.”

8. Do you use the services of Bitcoin payment processors?

“Yes I use Binance Pay. I’m looking to switch to other payment processors since Binance has disable its p2p option for Nigerians.”

9. What is your management style? Do you hodl the coins or instantly convert crypto received into fiat?

 “Both. I convert the crypto to fiat and also keep a small percentage of Bitcoin.“

10. What are the biggest challenges you face in running a business that accept Bitcoin as payment method?

“Balancing the books can be tricky especially when you don’t immediately convert the crypto to fiat. The market changes rapidly and you can experience a loss or profit.”

11. What key piece of advice do you have for someone that may one day like to start a business that accept Bitcoin?

“Just do it.”
 
 
I also discovered other SMEs advertising online that accept Bitcoin as means of payment. I sent them a dm and hopefully they will respond. I will be updating the thread as soon as I get a response from them. If you find a business that accepts Bitcoin as payment in your city, feel free to use the above questions and share with us the answers you got from the business owners. And I will add the link to the OP. If you also have suggestions and questions you think I should add in my next interview, please let me know. Cheers!

[Cosette]

Wow, that's interesting to read. I honestly think that altcoin is better since the fee usually cheaper. But, looks like someone still want to use btc as payment method.
A Gift card shop that i knew removed it btc payment because the same answer as number 7 and 10. I remember back then, the fees can reach $20 per transaction.

“Yes I use Binance Pay...”

Looks like this fixed the problem for confirmation time(tried to google it and it said the transfer should be instant). Back then, the confirmation sometime take too long to get confirmed.

[nakamura12]

Wow, that's interesting to read. I honestly think that altcoin is better since the fee usually cheaper. But, looks like someone still want to use btc as payment method.
A Gift card shop that i knew removed it btc payment because the same answer as number 7 and 10. I remember back then, the fees can reach $20 per transaction.

“Yes I use Binance Pay...”

Looks like this fixed the problem for confirmation time(tried to google it and it said the transfer should be instant). Back then, the confirmation sometime take too long to get confirmed.

Well, if it's internal transaction then it should be fast enough to receive the funds but if it's from another then you will have to wait for the transaction to get confirmed unless you want to use usdt to pay. It also depends on the seller if he wants to receive crypto payment other than bitcoin and usdt like eth and other crypto only have small transaction fee. It is only possible if crypto isn't banned in a country.

[GreatArkansas]

(....)
10. What are the biggest challenges you face in running a business that accept Bitcoin as payment method?

“Balancing the books can be tricky especially when you don’t immediately convert the crypto to fiat. The market changes rapidly and you can experience a loss or profit.”

The business owner really knows what he is doing, kudos to the business owner.
I agree with the answer to this question because it is really true and really a challenge especially. There is also other payment processors that will help to solve this problem like some auto conversion.

[Oasisman]

4. Who are your main customers?

“I sell electronics, gaming consoles and gadgets. A large portion of my customers are males. The gamers are not new to crypto, most of them have used bitcoin to make in game purchases so when they come here they are more than happy to pay on bitcoin.”


9. What is your management style? Do you hodl the coins or instantly convert crypto received into fiat?

 “Both. I convert the crypto to fiat and also keep a small percentage of Bitcoin.“

These two questions and answers are my favorite because it simply does made a lot of sense to me.
The merchant are selling electronic ang gaming gadgets, it is one thing to consider when accepting crypto as payments since majority of the target market are probably heard about crypto at least even once. Though there are still a lot of techy people who are not into bitcoin yet, this would be a great help for bitcoin to build trust to those kind of people.
That number 9 question might be a difficult thing to manage being the merchant since bitcoin is a volatile asset. Though he can just convert it to stable coin, but still it is a challenge to his risk appetite. So, it just made sense that he convert some to fiat to take profit from his product, while retaining the other to take the opportunity to get profit from bitcoin as well.

[Davidvictorson]

There is a research that shows that when a business add bitcoin as a payment option, they will attract new customers and their revenue will increase. For the third question, it is a dicey one because lately the federal government of Nigeria have been all out against bitcoin and even mobile money operators have been directed to close and report any of their customer engaged in crypto currency trade. He has to be very care so they do not make an example out of him. For the  fourth question, I am not surprised I didn't expect females or older adults to be his customers. And this is the reality every where. He has got everything really planned out and I like it. The government has made it difficult for other business people who want to add crypto as payment option to do that. There is a risk of them losing their business and going to jail if they are caught.

[Odusko]

This is the second the me I am reading about businesses in that region/NIG accepting bitcoin and USDT as mode of payment for goods and services and this is a good development at least some of the customers who are familiar with such development and technology will definitely use that service instead paying with fiat, and now that the Nigeria government is climbing down on cryptocurrency excahges and speculators I think the digital currency payment in such business will suffer a set back, but not totally a bad omen since many cryptocurrency users in Nigeria will rather choose to use bitcoin to pay for goods purchased in such shops instead of risking to convert to Naira before usage.
So it both side from the government the business owner will face some challenges, but from customers who pays with bitcoin there is will increase in adoption of such business, because someone like me will gladly pay with bitcoin instead of naira.

[Rruchi man]

11. What key piece of advice do you have for someone that may one day like to start a business that accept Bitcoin?

“Just do it.”

"Just do it" is the  tagline for Nike, but that Tagline is dangerous, especially when you want to make some kind of business or investment decisions because some decisions actually need to be given adequate consideration before implementation.

Do not start a business accepting bitcoins when you do not have any understanding of what bitcoins are or the technicalities involved.

If you are a business owner and you rush into accepting bitcoins as a payment method without really understanding it, there is a high chance that you may get cheated along the way by people who may have a better understanding of bitcoin than you do.

[kryptqnick]

If it's an electronics store, it especially makes sense for it to accept cryptos, as customers are likely to know about it and to be interested in that option. It's also interesting that people aren't using e-naira in interviewee's experience. A good story for those worried that CBDCs can be a big competitor of Bitcoin.
It would be nice to see more interviews like that, and perhaps some more information about businesses that accept Bitcoin. For example, what percentage of transactions are done in Bitcoin (and other mentioned currencies) vs fiat? Is there a discrepancy regarding the average sums (maybe people tend to choose BTC for bigger transactions, but maybe not)?

[SamReomo]

That was a pretty nice interview, the guy was smart enough to allow Bitcoin as payment method because gamers often know about cryptocurrencies as sometimes they have to purchase digital goods or other stuff with cryptocurrencies.

The store owner was fast enough to find that and allowed the gamers to pay in Bitcoin and other crypto currencies. I believe for such stores, it's better to accept stable coins in order to be safe from the volatility of the market.

But, if the owners are the ones who like holding their coins for long term then Bitcoin should be the no.1 payment solution that they accept from their customers. I know sometimes it's pretty hard to pay with Bitcoin due to network congestion but most of the times it still works way better than fiat.

[Die_empty]

5. Which cryptocurrency do your customers pay with the most? Bitcoin, Usdt or E naira? And which is your favorite?

 “I have never had a customer pay with E-naira.  Bitcoin and usdt are the favourites.”

6. Do you offer discount for customers who make payments in Bitcoin and other accepted cryptocurrencies?

“No I don’t.”

7. How do you deal with high fees in Bitcoin? Do you use lightning network?

“No, I do not use lightning network. Bitcoin is one of many payment options available. Customers can choose to pay in usdt, E-naira or fiat when bitcoin fees are high.”!

Enaira was introduced to limit the use.of cryptocurrencies in Nigeria. But it failed to achieve aim since most people don't even have knowledge of the that version of the Naira. I am not surprised that the businessman have never had a customer who wants to pay with Enaira.

Offering discounts would have encouraged more crypto users to pay with crypto. Maybe giving discounts might affect the profitability of the business.

Lighting Network is complicated to use and it might not be suitable for electric businesses where you don't have the same or consistent customers. Opening and closing the LN for every customer might be expensive and time-consuming

I recently visited a locally owned business that accepts bitcoin as payment method. I was so excited to see someone who isn’t on BTT accepting bitcoin as payment method. It shows that bitcoin adoption is spreading across the world. The store had a beautiful signage on the exterior and interior of the store that displays “Bitcoin, USDT, Enaira Accepted”

Great work SatoPrincess and we hope to see more interviews to enable us know more about business crypto adoption in your area.

[Dunamisx]

I recently visited a locally owned business that accepts bitcoin as payment method. I was so excited to see someone who isn’t on BTT accepting bitcoin as payment method. It shows that bitcoin adoption is spreading across the world. The store had a beautiful signage on the exterior and interior of the store that displays “Bitcoin, USDT, Enaira Accepted”

It also excites me whenever i see any establishment or business that accepts bitcoin as a means for making payment, this is all they want and have realized that its something being important for them in other to wave the challenges experienced with the use of fiat, this clearly shows that i such country, bitcoin is allowed to be used by everyone for their daily transactions anf they have a fair regulation on that.

[m2017]

If it's an electronics store, it especially makes sense for it to accept cryptos, as customers are likely to know about it and to be interested in that option.

The target audience of this store is highly likely to know how to use bitcoin. Whether payment bitcoin will be in high demand in a children's/women's clothing or children's clothing store is a rhetorical question.

A good story for those worried that CBDCs can be a big competitor of Bitcoin.

Exactly?

10. What are the biggest challenges you face in running a business that accept Bitcoin as payment method?

“Balancing the books can be tricky especially when you don’t immediately convert the crypto to fiat. The market changes rapidly and you can experience a loss or profit.”

CBDC will fix this problem. This is why bitcoin is not very suitable in this capacity now.

It would be nice to see more interviews like that, and perhaps some more information about businesses that accept Bitcoin. For example, what percentage of transactions are done in Bitcoin (and other mentioned currencies) vs fiat?

This question arose for me too. Will we demand that @SatoPrincess continue the interview?

I would also like to know from the owner of this store how the tax authorities (or other government agencies) react to the fact that he accepts payment in USDT and Bitcoin?

[Z-tight]

and have realized that its something being important for them in other to wave the challenges experienced with the use of fiat

Whenever people implement BTC payment in their business, it is not because of any challenges they face in accepting fiat, what kind of challenges can they face? It is even in accepting crypto that there could be certain challenges.

Implementing BTC payment is usually a means of attracting extra customers that would want to pay you in BTC, and also a way to increase the adoption of BTC as a currency, especially when the merchant is a bitcoiner themselves.

[red4slash]

10. What are the biggest challenges you face in running a business that accept Bitcoin as payment method?

“Balancing the books can be tricky especially when you don’t immediately convert the crypto to fiat. The market changes rapidly and you can experience a loss or profit.”

At least in this case besides he is not just trying out some of the trends that are happening in your country (because looking at some of the previous posts from some Nigerians there are a lot of threads that make payments through bitcoin in the business being done) and what is done in his business is not trying but indeed the owner you interviewed must understand how it works so that he knows the risks of accepting bitcoin payments will be what the risks are and indeed it is a good thing and should be appreciated so that when the challenge of adopting for payments he already knows what to do so I think it is a good thing.

In addition, it will definitely be a little hard to continue to maximize this because indirectly the owner is required to be extra every day so that the situation in the balance of capital in bitcoin payments is maintained and indeed this is definitely the best experience for you and also the owner who makes payments through bitcoin and in addition this is also a good reference for some Nigerian friends who are doing the same thing (accepting bitcoin payments in their business) to do some of the tips that are in the answers given in this interview.

[milewilda]

and have realized that its something being important for them in other to wave the challenges experienced with the use of fiat

Whenever people implement BTC payment in their business, it is not because of any challenges they face in accepting fiat, what kind of challenges can they face? It is even in accepting crypto that there could be certain challenges.

Implementing BTC payment is usually a means of attracting extra customers that would want to pay you in BTC, and also a way to increase the adoption of BTC as a currency, especially when the merchant is a bitcoiner themselves.

Its an option to take or something that you could really be able to integrate. As we are moving forward when it comes changes and other stuffs then it would really be just that normal for a business owner to consider out on adding those new things which are really that on trend or something that could be possibly applied into their business. We do know that crypto is really having that increasing recognition now and sooner or later years
we would really be able to see that acceptance and adoption is really that there on which if people would be finding out that they do have that crypto options or payment then it would really be bringing out that ease
and convenience whenever they would be deciding on buying up something or having that kind of service or something. So it would really be just that depending on how known or really that being legal
on a certain place before these business owners would really be making out such option.

[Zaguru12]

This question arose for me too. Will we demand that @SatoPrincess continue the interview?

I would also like to know from the owner of this store how the tax authorities (or other government agencies) react to the fact that he accepts payment in USDT and Bitcoin?

I think OP will definitely update us on this thread about more.

Seriously about the tax I will say the business owner isn’t paying that on for either bitcoin or usdt. My reason been that he would definitely have to hide from the authorities that he accepts bitcoin as a payment option. The government is currently placing heavy restrictions on bitcoin and cryptocurrency at large at the moment in as much as I would love more people to accept it into their businesses I think it is way too risky for now. So for tax I am pretty sure he isn’t pay for that? Because if he does, he might currently be facing the law for using it as a payment option.

It also excites me whenever i see any establishment or business that accepts bitcoin as a means for making payment, this is all they want and have realized that its something being important for them in other to wave the challenges experienced with the use of fiat, this clearly shows that i such country, bitcoin is allowed to be used by everyone for their daily transactions anf they have a fair regulation on that.

In the past the government had a relaxed policy on it, so the interview must have been conducted prior to this month. At the current moment the government is going in heavy with those involved into bitcoin and cryptocurrency.

[btc78]

1. When and why did you decide to start to accept Bitcoin and other crypto as payment methods in your business?

“I thought it would be a good way to attract customers who like cryptocurrencies. I have been doing this for about three years and I have had this business for four years.”

It’s cool that they started doing it three years ago where cryptocurrency was not as huge as it is right now. It must have take lot of guts to jump through that cliff.

9. What is your management style? Do you hodl the coins or instantly convert crypto received into fiat?

 “Both. I convert the crypto to fiat and also keep a small percentage of Bitcoin.“

That’s extremely smart and I think that a lot of business owner should follow. You are earning and investing almost both at the same time.

10. What are the biggest challenges you face in running a business that accept Bitcoin as payment method?

“Balancing the books can be tricky especially when you don’t immediately convert the crypto to fiat. The market changes rapidly and you can experience a loss or profit.”

This is what I am talking about. It is extremely risky however I think the gains are worth it.

[livingfree]

That's a good to read thing. And I think you'd be able to do the same interview with other SMEs if ever they will grant your request of interviewing them since you won't be posting their faces and identities but only their shops.

And what's good into this interview is that you're going to broadcast it here in the forum and through written format which won't have any recorded footage but only written minutes.

Keep it up OP!

[_BlackStar]

I'm too bold to talk about how business and payment methods are received by a particular shop owner – unless he's a friend of mine. Of course - asking a lot of questions like that to a stranger is very unpleasant, in fact I might even make him uncomfortable with all the questions.

Your experience proves that this is different - he's greets your intentions with openness to the adoption of bitcoin or other cryptos. His enthusiasm for attracting more customers who own bitcoin or crypto is huge - in fact he can open a lot of eyes for people who previously didn't know about bitcoin to find out about it. This was an interesting read for me - thanks for posting it.