Almost a decade ago, it was impossible to do anything with cryptocurrencies other than trade and store tokens in a wallet and hope for the best. Much has changed since then, however, with crypto now being used to purchase a wide variety of assets, products and services – with more and more opportunities opening up as stores and retailers consider expanding their transaction options. One of the most confusing things about using crypto like Bitcoin and Ethereum for purchases is knowing what can be bought and in this post, we’ll be exploring the variety of items available.
Checking Crypto Compatibility
The vast majority of services that accept crypto payments will typically make it clear that they do so. When buying online, a notice will usually be positioned near the payment section of the site, alongside card and third-party options. For physical stores, these signs will often appear in windows. Even if these signs aren’t visible, it doesn’t mean that a premises won’t accept the payment and so it can be worth asking at a checkout or help desk. Some will only accept particular types of crypto such as Bitcoin and Dogecoin, and this is why it can be beneficial to check the exchange rate for different digital currencies like the current Ethereum price.
Assets That Can Be Purchased
There are a variety of products and services that can be bought with cryptocurrencies and some of the most prominent include:
- Properties such as houses, apartments and offices
- Vehicles of all types
- Clothing from specific retailers
- Consumables such as food and drink
- Materials for construction, renovations and more
As mentioned above, there are a wide variety of businesses that now accept crypto payments instead of traditional cash. According to research, there are an estimated 15,174 registered entities that do so, and many of them also offer ATMs in their stores to make adding to a wallet easy. Others will have dedicated machines that can connect totheir own wallet.
How Are These Payments Made?
In the vast majority of instances, crypto payments will require two wallets – one being the sender, and the other the recipient. This is most commonly found to be the case when buying property. In order to do so, the buyer will need to possess their own wallet with the relevant amount in crypto such as Ethereum. The recipient will also need a wallet to access crypto to fiat services, but in some cases the estate agent can act as a middle-man, providing their own wallet and then transferring the funds in the equivalent amount as a traditional currency.
The same applies to other types of purchase whereby an asset changes hands. When buying a car from a showroom that accepts crypto, they will likely have a dedicated wallet for these types of transactions. It is important to keep in mind that not all sellers will accept every type of crypto, and the majority that do will want to receive their payment in the form of a globally recognized type, such as Bitcoin, or Ethereum – with the latter being far more common.
Which is the Best Crypto to Buy With?
For larger purchases like homes and vehicles, Ethereum has proven to be one of the most popular methods for transactions, as its value is convenient enough to cover costs of varying proportions. With that in mind and when spending a larger sum, Bitcoin may be more convenient, especially if the total amount for the purchase is 5 figures or higher.
Fortunately, more businesses are opening their services to trade with cryptocurrencies and because wallets can be fairly straightforward to set up and use, as these companies make buying with crypto an option, more traders are utilizing this feature. As cryptocurrencies are increasingly in demand, many businesses also offer discounts when paying with this type of currency, as some understand that the value can increase drastically when compared to regular cash or card payments.