Making payments with Bitcoins

[MaxLevCoin]

As for the business, it's either the operator liquidate the coins right away or risk keeping it for a while to make additional profit. It's for him/her to decide. Whatever happens, it's his/her full responsibility, not the customers'.

When a business owner chooses to accept payment in bitcoin, it becomes a choice for them to make either to have that payment turned into an investment in bitcoins or not to.

If the intention is to turn it into an investment in bitcoin, then the business owner may choose to leave the payment in bitcoins and continue to accumulate more through clients' payments.

Not all business owners will be capable of turning all payment received in bitcoins into direct investment in bitcoins; it is only business owners who have a huge reserve of fiat that can do so, that way they need not be changing their crypto investment to fiat to restock business supplies and essentials.

that's a very fair take. accepting bitcoin as payment doesnt automatically mean its an investment its a cash flow decision first. if a business has strong fiat reserves they can afford to hold btc and treat it like a long term asset, most businesses dont have that luxury

for many owners, btc paymts still need to be converted to fiat to cover inventory, salaries, and operating cost. the real flexibility only comes once the core business is financially stable. until then, btc is more a payment rail than an investment and that distinction matters.

[devlin85]

If a seller accepts Bitcoin directly, price risk is part of the deal That’s not the buyer’s problem, most businesses already deal with currency risk when they accept foreign payments, the smart move for sellers is to either convert BTC to fiat immediately or hedge the exposure.

[Rustam Meraj]

Daily shopping with Bitcoin is difficulty since its value changes rapidly and this may make business lose money immediately after sale. In most cases, buyer does not need to pay extra amount after deal has been closed since once seller decides to accept and hold onto Bitcoin he is taking personal risk as investor. To stop this, most stores have special software that automatically changes Bitcoin into standard cash in order to ensure that they never run out of cash to purchase new goods. Should seller choose to keep Bitcoin they may add small additional fee as security net but most buyers would just use cash in case of high charges.

[retreat]

This isn't the first time merchants have accepted Bitcoin payments, many have done so, and they typically don't charge additional fees to users who want to pay with Bitcoin simply because the Bitcoin price can drop. This is because merchants collaborate with third parties to provide payment channels that automatically convert Bitcoin payments to fiat. And some simply leave it alone and consider it an investment, as they don't only accept payments in one method, so it can be offset by income from other payment methods.

[Byebyebtc]

Before a seller can accept Bitcoin as a form of payment this period. He or she must have an investor mindset as well because price drops aggressively this period so except you have the believe that it will go up back, and you will also be using that your payment as accumulation
Because if you get paid with it, it might actually loose value within a short period of time
So payment this period will only be used as accumulation

[LogitechMouse]

Let's say that most wholesalers and retailers started receiving payment for goods bought with Bitcoin. What do you think can happen to the seller when the price of Bitcoin eventually drops and he or she is about to go to market to purchase more goods into his warehouse or stores. Should the buyer that made payment with Bitcoin pay an extra charges in a situation where the Bitcoin market is not looking favourable so that the seller will not run into lost.

No.

That's the underlying risk when from the seller when they started to accept volatile assets like Bitcoin as a mode of payment. I guess this is also the main reason why there are only few establishments or stores that are accepting Bitcoin. Because of the fact that in a few weeks, they might lose money because they accepted Bitcoin, that might cause them losses in their business.

The buyer isn't responsible in paying extra charges if things go south because it can go the other way around as well and instead of Bitcoin going down after the payment has been made, it could go up as well and that will favor the seller. If that happens, will the seller give back the extra Bitcoins to the buyer since the price of the coin went up? Of course not.

[X-ray]

Let's say that most wholesalers and retailers started receiving payment for goods bought with Bitcoin. What do you think can happen to the seller when the price of Bitcoin eventually drops and he or she is about to go to market to purchase more goods into his warehouse or stores. Should the buyer that made payment with Bitcoin pay an extra charges in a situation where the Bitcoin market is not looking favourable so that the seller will not run into lost.

If the seller want to accept bitcoin because they want to accumulate bitcoin, they can accept direct payment with all the disadvantage such as volatility. But they also have the choice to choose payment processing using Payment Processor system that convert it directly to fiat upon receiving such as coinbase payment.

By then the concern about volatility will be eliminated because you gonna have to choose to accept direct payment with no fee or using payment processor with fee but you receive stablecoin. On the buyer side, they can't give two damn because they gonna pay with bitcoin eitherway.

This problem is actually already solved, it's just that people don't really put that much attention.

[Kelvinid]

IMHO, as long as bitcoin remains highly volatile, the fear to accept bitcoin as a payment is also high. So that puts the wholesalers or retailers not to pursue bitcoin as a payment, but they will secretly be buying bitcoin to fulfill their bitcoin investment goals.

However, with bitcoin's global adoption working in process, that may be possible in the future provided with some rules and regulations that bitcoin users and buyers are required to follow. Bitcoin as a payment system then might not scare away those wholesalers and retailers.

[laspol65]

Let's say that most wholesalers and retailers started receiving payment for goods bought with Bitcoin. What do you think can happen to the seller when the price of Bitcoin eventually drops and he or she is about to go to market to purchase more goods into his warehouse or stores. Should the buyer that made payment with Bitcoin pay an extra charges in a situation where the Bitcoin market is not looking favourable so that the seller will not run into lost.

The customer will buy the product with the amount of money or Bitcoin that the other party will have, and no additional charges will be made. And the person who is selling the product will take this risk and sell the product. Buying and selling is done through Bitcoin, because when the price of Bitcoin increases and the shopkeeper seller does not return the excess profit to the buyers, so in this case, if the price of Bitcoin decreases, the customers will not pay extra money either. Therefore, transactions will be made only on the final price and in proportion to the current price of Bitcoin because it is reasonable to give the most importance to the current situation.

[SmartGold01]

Every dealer and supplier should be able to know the risk involves with bitcoin while receiving bitcoin as a payment from goods purchased from their store or superstores. For me there should be a way to backup funds immediately received to their wallet, it is either they immediately converts to stable coin or to their local currency to reduce and eliminate additional loses that may be incurred by them whereby they would secured their cost prices and possibly save their profits made from the sales. Maybe, if a goods or products is sold for $2000BTC, and originally their sales price was $1700BTC the profits which is $300 can be left on bitcoin in order not to run into additional loses while going back to fill up their stores or superstores. Buyer has already paid when the price of bitcoin was equal to what they bought so the seller wouldn't have to contact them to make additional payment since the price of bitcoin dropped.

[impulse709]

Every dealer and supplier should be able to know the risk involves with bitcoin while receiving bitcoin as a payment from goods purchased from their store or superstores. For me there should be a way to backup funds immediately received to their wallet, it is either they immediately converts to stable coin or to their local currency to reduce and eliminate additional loses that may be incurred by them whereby they would secured their cost prices and possibly save their profits made from the sales. Maybe, if a goods or products is sold for $2000BTC, and originally their sales price was $1700BTC the profits which is $300 can be left on bitcoin in order not to run into additional loses while going back to fill up their stores or superstores. Buyer has already paid when the price of bitcoin was equal to what they bought so the seller wouldn't have to contact them to make additional payment since the price of bitcoin dropped.

Any trader who accepts Bitcoin is expected to be aware of volatility and how to deal with it. The most risk free way here is to change the cost price part of received BTC to stablecoins or local currency at once, and gain funds to get restocked. The only calculated risk that can be left in Bitcoin is the profit margin. After the payment has been completed the changes in price are not the duty of the buyer. Risk management will promote the furthering use of merchants and foster confidence in crypto payments in the international community.

[Pauldesaints]

Anyone accepting Bitcoin as a means of transaction should be careful and take into consideration the volitality nature of it to avoid incurring some losses just like the scenario you created above. It will be difficult to some business owners to accept Bitcoin as means of payment to there goods and services.

[Rockstarguy]

Let's say that most wholesalers and retailers started receiving payment for goods bought with Bitcoin. What do you think can happen to the seller when the price of Bitcoin eventually drops and he or she is about to go to market to purchase more goods into his warehouse or stores. Should the buyer that made payment with Bitcoin pay an extra charges in a situation where the Bitcoin market is not looking favourable so that the seller will not run into lost.

As a business person you have right to do what you think will be for the betterment of your business. If Bitcoin price has been falling so seriously you can tell your customers if he or she is paying Bitcoin their will be little charge, but if you choose to accept Bitcoin as payment i think it is your own decisions because you already understand what bitcoin volatility is like and anything can happen. So as a business person you know the best way to position your business that it won't be lose to you at the end.

[katanic97]

Let's say that most wholesalers and retailers started receiving payment for goods bought with Bitcoin. What do you think can happen to the seller when the price of Bitcoin eventually drops and he or she is about to go to market to purchase more goods into his warehouse or stores. Should the buyer that made payment with Bitcoin pay an extra charges in a situation where the Bitcoin market is not looking favourable so that the seller will not run into lost.

As a business person you have right to do what you think will be for the betterment of your business. If Bitcoin price has been falling so seriously you can tell your customers if he or she is paying Bitcoin their will be little charge, but if you choose to accept Bitcoin as payment i think it is your own decisions because you already understand what bitcoin volatility is like and anything can happen. So as a business person you know the best way to position your business that it won't be lose to you at the end.

I don’t think there should be any extra fee if a customer is paying with Bitcoin. If you, as a business owner, decide to accept this type of payment, you are taking the risk yourself. As you said, anything can happen, the price can fall and the business owner may be at a loss, but the opposite can also happen. In my opinion, if you decide to introduce Bitcoin payments, you must be prepared for the risk and potential losses at the same time, accepting Bitcoin can also bring additional profit

[Rabata]

Let's say that most wholesalers and retailers started receiving payment for goods bought with Bitcoin. What do you think can happen to the seller when the price of Bitcoin eventually drops and he or she is about to go to market to purchase more goods into his warehouse or stores. Should the buyer that made payment with Bitcoin pay an extra charges in a situation where the Bitcoin market is not looking favourable so that the seller will not run into lost.

I think that the price of Bitcoin is unstable. And if this unstable coin is used for buying or selling goods, then in that case it should be traded at its current price. Because no one wants to bear the loss. So when the price increases or decreases according to the main price, everyone has to pay accordingly. If Bitcoin had a stable price, it would be different, but there is no opportunity to think about the unstable price. Those who start trading with it should consider its advantages and disadvantages and take the right decision. If they want to avoid risk, they can quickly convert it, and if they can take the risk according to their ability, they can also make a profit.

[Sanitough]

No, it's not the customer's responsibility to cover for the loss. The agreed price when the transaction took place is the final price.

As for the business, it's either the operator liquidate the coins right away or risk keeping it for a while to make additional profit. It's for him/her to decide. Whatever happens, it's his/her full responsibility, not the customers'.

I think this is the main hindrance to merchants adopting Bitcoin payments. If they do, they have to use payment processors that immediately convert Bitcoin sales to fiat, which is in a way pointless.

There's no way the customers will be charged when bitcoin price is dropping, because if that's the case, people will not use to pay their bitcoin anyway but will only hold it until they're capable to hold and sell in the end.

This is why those merchants who are accepting bitcoin are only limited, because this is certainly a big risk for them, putting their business into an instant loss if all their bitcoins received have ended up losing their real value, though bitcoin price recover afterwards.

So if you decide to  accept bitcoin, know the risks as well, and be responsible in managing that risk.

[Omj1014]

Or the seller should always have extra fiat that he can use to buy the things while hold bitcoin.

I think this is very good idea, if the retailer wants to use his sales, to invest in Bitcoin which could be really profitable in the long run, or depending on the market at the time.

[anvar1]

why wondering about payments if you can make your assets easily profitable    Make Assets Profitable.pdf

[nakamura12]

That's other reason why making Bitcoin as other mode of payment is because the price isn't stable but I do believe that others may have use a stable crypto like usdt as mode of payment. If the merchant received Bitcoin as payment and then the value decrease then the goods that the merchant will become less and it will means as a loss of profit. Let's say, you have goods worth $100 and when you receive the payment is that the value of Bitcoin decrease and now the value is $90 then, can you buy the same goods again using that money received from selling the previous goods?. This will only work when the merchant save the Bitcoin for long term and not use it to restock goods.

[AmaGold70]

Let's say that most wholesalers and retailers started receiving payment for goods bought with Bitcoin. What do you think can happen to the seller when the price of Bitcoin eventually drops and he or she is about to go to market to purchase more goods into his warehouse or stores. Should the buyer that made payment with Bitcoin pay an extra charges in a situation where the Bitcoin market is not looking favourable so that the seller will not run into lost.

Any one that accepts to receive payment from their customer with Bitcoin should be able to take responsibility for any loss they encounter along the line because it has nothing to do with the purchaser since they have already paid the agreed amount of money in Bitcoin, I guess this is one of the many reasons why most store owners don't want to receive payment through Bitcoin because it can crash at the next second and they will be at loss and in situations like this it is very important to convert quickly to fiat after you have received payment in Bitcoin.