Topic: Bitcoin high transaction fees is a disadvantage to small business owners - page 4. (Read 424 times)

Fiat payment system have fees, but they are paid by merchants rather than the buyers. In turn merchants have to rise the prices.

Which system is more expensive depends on a typical transaction size. Bitcoin fees don't care about the monetary value of transaction, so when the fees are high, small transactions become unviable. But for large transactions Bitcoin can be cheaper, because 1% from $5,000 would be higher than a typical Bitcoin fee.

But without Lightning Network Bitcoin is not viable for commerce, simply because it's limited to ~300k transactions per day, while there are 8 billion people on Earth.

i think not many people are using lightning network and both of them must be the same network.
base on this
lightningnetworkstore there are 682 stores that use lightning network.
but it's slow adoption

Bitcoin payment is optional, buyers should be responsible for the transaction fee, not you. If they do not want to pay with bitcoin, they can use fiat.

What if you use an exchange and a customer pay you and Binance freeze the coin and said that it is tainted? Even if the coin is later released, it would have been a difficult time and it is going to stress you out to get your coins. Bitcoin gives the freedom not to depend on any central organization.

I think this will depend from country to country. Like in my country, local bank transactions are of very low fee, most do not require fee, but with little monthly charge. There are online microfinance banks and fintech with zero transaction fees, or zero transaction fee for certain number of transactions in a month, with not monthly charge.

Binance Pay will encourage centralization and dependence on centralized authority. For this kind of shopping, lightning network has not two reasons it was created than this, to be able to spend bitcoin with cheaper fee and faster within a second or few seconds.

There is always good working around in such situations, and a while ago when I suggested Binance for small business payment here, some ill-informed people believed I was talking heresy due to their shallow understanding, not knowing that business is beyond whether or not you are using the non-custodial wallet, you should only try not to hold too much money there.

The fee and transaction completion time would at times be the issue for those accepting Bitcoin for payments. And to outsmart that, a big name like Binance could be of help since you would hardly see a person dealing with crypto nowadays without using a Binance wallet. This could help them to even pay for their goods and service for free.

I was thrilled 3 weeks ago when I wanted to fund a newly opened trading account with an Australian broker. The broker offers "Binance pay" and the transaction was fast, free and seamless. That's what we need this time, not only the LN, though it's also a good development, but still with its issues.

Bitcoin transaction fee might not be a problem if you transfer large values.

Many payment processors will charge you a percent of a transaction,  like 1%. Even PayPal will do so.

So it depends on what you and yours clients want. Bitcoin also gives the user more privacy.

I do not know from which country you are but if Binance is available in your country then you could ask your customers to pay from Binance ID which will cost them nothing (free of cost transaction). I know many BTC user prefer to store there assets on non custodial or hardware wallets but still they will have some BTC in there exchanges too.

So you could ask them to pay you through your pay id, or you could make a QR code for yourself, i do not know if other exchanges also provide the same feature because it also has its limitations for example if a customer do not have account on Binanace exchange then you will have no other choice, so you have to find which exchanges provide this feature on your own.

No wonder, the transaction fee is so much for small business, but if you trust your customer so much, you should ask them to pay at the end of month, this the amount will be huge and your customer has to pay few dollars only. But it has its own limitation like customer could scam you.

Another way is. You only allow customers to buy things via BTC when they need to buy in bulk, in this way the amount will be huge and the customer will not feel the fee difference  snd they could happily pay the fee

This is a great initiative and I personally would love for people to use Bitcoin for their daily small businesses. This will be the biggest incentive for the rest to dare to use Bitcoin.
It is good that you have thought about this point before you start accepting bitcoin payments. Indeed, it is a big problem for small businesses to accept payments in small amounts for everyday products. But there really is a solution to that that you may not have come across.
The solution is to use the Lightning Network, which enables you to make transfers in small amounts on channels parallel to the Bitcoin network, and then send all the amounts in one transfer on the main network. Here are some useful links:
How to use the Lightning network?
Lightning Network questions

Currently the issue of having bitcoin as a payment option in small scale businesses is actually hindered by the high transaction fee. The best of these option is to accept little payments in fiat and if you chose to invest them in bitcoin then you can buy them your self at later stage. The inception of the lightening network was actually the solution for fast and small transaction fee but it’s adoption isn’t growing rapidly as it would probably because some of the wallets do not support it just yet

If you use exchange like binance the easier way would have been using your pay or user ID but this also depends on the use to have same exchange and probably funds from it. So you can just add that too that People with the exchange can use that. But as you know the issue of centralized exchanges like this do not leave off your funds on them for long. Once they get to some quite significant amount you can withdraw them to your wallet. At least it will minimize the transaction fee

I run a small business and I receive payments for my goods in fiat currency. So joining this bitcointalk forum has really enlightened me about the advantages and gains of trading and investing with bitcoin. So going a step further, I decided that I want to place adverts that customers can have the option of making payments when they buy goods in my shop with bitcoin. But I decided to first seek the opinions of experienced people who are into bitcoin, they encouraged me to go ahead, also to be cautious of bitcoin high transaction fees. I did a little research on it and found out the inevitability of the high fees. https://www.makeuseof.com/what-are-bitcoin-transaction-fees/ 

My problem with these high transaction fees, is that customers naturally wants to minimize expenses, so if they choose to make payments with bitcoin, then they will want to exchange it at the exact rate of USD. So the seller bears the cost of the high fees alone, which may lead to selling at a loss. Although I'm guessing that the high fees might not affect big business owners, who receive payments in bitcoin, because they sell with higher profits, and when they minus the cost of the high transaction fees, it still won't affect their overall profits.

I feel that this is a big edge that fiat currencies have over bitcoin, because you don't have to pay extra to buy goods or services, even when you make fiat payments through banks, they only charge a token as transfer fees. So this high fees is a disadvantage to small business owners like me who has the intention of receiving payments in bitcoin.