Knowledgebase: Merchant
Can you tell me more about the flow of processing Bitcoin payments?
Posted by Coinify on 05 July 2016 11:17 AM

All about Bitcoin is new for you and you want to understand better the way Bitcoin payments work. Then, this help article is for you:

Normally, when you have integrated with us and enabled Bitcoin Payments on your website, your customers can choose to pay with bitcoins as simple as choosing to pay with any other traditional payment method like VISA/Master Card or PayPal. However, there are some specifics related to paying with Bitcoin:

First, your customers need to have their own Bitcoin wallet. They can install it on any device - mobile phone, computer or tablet. You can find more information about Bitcoin wallets here.

Next, your customers are sent to a payment window to make the payment which is active 15 minutes. From there, they are just one step away from completing their payment.

  • If they have their Bitcoin wallet installed on their mobile phone, they need to scan the QR code shown in the payment window.
  • If their wallet is installed on their computer or tablet, they need to press the button "Pay with Bitcoin Client".

So far, we explained how paying with Bitcoin looks like for your customer. Reading further will give you the opportunity to learn more about the processing part of the payment and how Coinify does it:

  • You have a webshop where you have placed your products in fiat currency - $/€.
  • When your customers want to pay with Bitcoin, they choose "Pay with Bitcoin" from the payment methods available on your website and place an order.
  • Then we get a request from your webshop to calculate the price in Bitcoin
  • After we have done this, we send payment request in bitcoins to the customer.
  • The customer pays using a personal Bitcoin wallet.

When the payment reaches Coinify we process it depending on your Payment Settings.

  • If you have chosen "Convert to Account Currency", we will convert the BTC to $/€, etc. and send it to your bank account or PayPal account once a day IF you have reached your default Payment Account's minimum settlement amount.
  • If you have chosen to "Keep Bitcoin", we send the bitcoins directly to your Bitcoin wallet.

If you have more questions or need assistance with anything, please send an email to our support.

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