AddingBitcoin for Merchants

Add a Bitcoin Cash (BCH) payment option to your business because it helps you

  1. New business - Nerds seek out and prefer businesses that accept Bitcoin Cash
  2. No chargebacks - Receive online easily and safely with no fraud risk
  3. Cash-in-hand - Instant, cleared payment. No waiting for funds from card processors
  4. Hard money - Fixed supply, non-government money, that can’t be inflated by banks

Do you accept Bitcoin Cash yet? Plenty of other merchants already do.

Bitcoin Cash should resonate with you if you feel that “Cash is King”, and are concerned about inflation from central banks’ money printing policies (see Why we believe in Bitcoin Cash for more)

Venn diagram BCH is intersection of cash and hard money

Bitcoin Cash is the intersection of cash and hard money

Tax, Accounting and Practical Steps

  1. Add a ‘Bitcoin Cash’ payment type to your accounting / point-of-sale system
    • This is a new button complementing existing such as ‘Card’ or ‘Cash’
    • It ensures year-end tax assessment and accounting are correct
  2. Set up a BCH wallet on your phone
  3. Set up an invoice footer, or clipboard sheet, with your BCH address
    • The footer is for invoices you send to customers
    • Add the footer to remittance advice slips sent to suppliers, too
    • The clipboard sheet is for ‘bricks and mortar’ in-person sales

These are explained in more detail in the Quick Start PDF.

Questions or Concerns?

Here are some common reservations:

  1. Is it worth the learning curve - even if it’s free in Euros, is it worth the effort?
    • It does not make sense if your businesses currently has cashflow problems
    • For many small businesses however, it is worth it for gaining a niche of loyal customers
    • AddingBitcoin encourages merchant adoption by making it easier to understand and get started
  2. Volatility - the price in Euros changes all the time
    • You can remove volatility risk entirely, by converting immediately into Euros at the time of payment. This is done by using a payment processor. It comes with a small cost overhead, similar to the cost of debit cards. Please contact us for recommendations
    • However, by not selling into Euros you can also pay your suppliers in BCH - use as money. And position your business for a potential increase in price
    • Your financial risk exposure is low because only a small percentage of your turnover would be in BCH
    • But with fixed supply and use as money, the expectation is that the price in Euros will go up over the long term - say 3~5 years. Nothing is guaranteed however, up or down, as no-one can tell the future

About Us

AddingBitcoin is a non-profit, merchant-focused collection of resources for business owners to understand, accept and pay their suppliers in Bitcoin Cash.

It is run by volunteers who believe in the benefits of non-government sound money, that doesn’t need a trusted third party.

There were many attempts at electronic money before Satoshi Nakamoto’s invention - and many afterwards too. But as it stands today, Bitcoin Cash looks like the most likely to succeed.

Why we believe in Bitcoin Cash

Bitcoin Cash is money. Most people don’t really understand what money is. It’s not the physical notes themselves - instead think of money as a veil over barter. Also called a medium of exchange, it has value only because we can exchange it for other goods and services.

“Cash” is a type of money that can’t be revoked. Once it’s in your hand, it’s yours. Electronic money via banks and payment processors aren’t cash. Not because they’re electronic though, but because the money isn’t really yours. It’s the bank’s money. What you have is in fact a promise from the bank that you can receive that money in the future.

Unlike other electronic money, Bitcoin Cash is cash; once it’s in a wallet that you control, no-one can revoke it or limit your spending. It’s the same as physical cash in this regard. In contrast, banks’ promises are not kept in many instances:

  1. Chargebacks take previously credited funds away from you
  2. Limit withdrawals to keep a minimum balance
  3. Bank runs, complete or partial, such as the €100/day limit in Cyprus, in 2013

Bitcoin Cash is hard money. This is because it has a fixed supply; additional units can’t be ‘printed’ by banks or government central banks.

“Hard money” historically meant coins made out of precious metal commodities such as gold or silver; or currency whose value ties directly to a specific commodity. Fiat money, in contrast, isn’t tied to any fixed supply, and so can be inflated at will.

Over the long term, inflating or ‘printing money’ means everyone’s purchasing power is reduced - each unit of money buys you less goods. Think of the Weimar Republic, Mugabe’s Zimbabwe, or present-day Venezuelan Bolivars.

Those are extremes, but the principle applies to moderate inflation in the Eurozone today - as shown in the prices of one litre (1 Maß) of beer, below.

Beer price chart over time, in Euros and gold

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