A Crypto Payment Processor Triples its Volume in 2021: Analyzing CoinsPaid’s Success
Sara K24 Jan 20222 min read
With the news that Tesla now accepts DOGE in its merch store, all eyes are once again on crypto payments. Leading cryptocurrency payment processors, such as CoinsPaid, reported 300% increases in volume in 2021: businesses are ready to embrace crypto, which allows them to cut payment costs by 80%.
Billions in BTC Payments Pass Through Major Gateways
It’s not often that a payment provider triples its processed volume in a year – yet that’s exactly what CoinsPaid did in 2021. It outperformed many crypto payment providers, with transaction volume increasing by 318% between January and November 2021 to reach 4.8 billion euro.
The number of transactions handled by the blockchain payment gateway grew by 111% in the same period. Out of the 13.5M payments processed by the company since its launch in 2014, almost 9M took place in 2021. CoinsPaid now handles around 7% of all on-chain BTC transactions.
How and Why Merchants Choose a Crypto Payment Processor?
Thousands of businesses added crypto as a payment option in 2021; Tesla and AMC are just two widely publicized examples. There are many reasons to do so:
- Saving up to 80% in payment costs;
- Near-100% acceptance rate;
- An audience of crypto holders that doubles every few months.
However, even in the booming payment market, CoinsPaid’s success stands out. What’s the secret? Many of the 800+ merchants that use the payment service name the same strengths:
- Transparent low fees;
- Regulated and compliant in the EU;
- Possibility to receive payments in 30+ cryptos and convert them into 20+ fiat currencies;
- SEPA and SWIFT withdrawals in USD, EUR, etc.;
- Fast integration (from 1 working day);
- High security: CoinsPaid passed two audits, including one by Kaspersky Labs. Transactions from a suspicious payment source are immediately flagged;
- 3 ways to charge customers (channels, invoices, and recurring payments).
End customers clearly appreciate the smooth coin payments: merchants report an increase in conversions of up to 35%. CoinsPaid was even named Payment Provider of the Year at the AIBC summit in Dubai.
From a crypto payment processor to a full ecosystem
Starting from 2020, CoinsPaid has been moving from simple crypto payment processing to ecosystem-building. It now offers a set of hot wallets – one for businesses, one for regular holders – an OTC service, and even a SaaS solution.
The cornerstone of the ecosystem is the CPD token, which allowed CoinsPaid to introduce a suite of DeFi tools. Merchants can stake CPD and earn discounts of up to 50% – especially if they also use CPD for their crypto payment fees. CoinsPaid recently obtained two legal opinions on CPD in the EU and is now preparing to launch a marketing campaign and new incentives for holders.
Online businesses increasingly turn to Bitcoin payments as a cheaper and safer alternative to card processing. The trend looks due to continue in 2022, led by regulated providers that offer the most transparent fees and DeFi opportunities – such as CoinsPaid.
