Global cryptocurrency payment processor BitPay has announced that it has signed up OneGold as a merchant, which will now see the marketplace for precious metals and digital gold accept Bitcoin (BTC) and Bitcoin Cash (BCH).
OneGold is a platform founded by the world’s leading precious metals retailer- Oklahoma-based APMEX- and alternative asset manager Sprott.
The primary drive behind this platform is to provide the investor community with an opportunity to leverage the “key benefits of physical gold and silver” and combine these with added advantages that come with blockchain-based digital assets.
According to the company’s announcement, the addition of BTC and BCH as payment methods is a boost to OneGold’s “transparency and efficiency.”
The firm’s CEO Ken Lewis has projected that having the two payment options has the potential to attract a considerable number of “cryptocurrency buyers from international markets,” many of whom would be from jurisdictions where the use of credit cards pose particular challenges.
Transparency and payment security
BitPay’s COO Sonny Singh, commenting on the partnership with OneGold, stated that the use of crypto for payments is something “ideal” for the e-commerce and precious metals market.
He attributed this to the increased risks of falling prey to fraud or suffering identity theft as is related to credit card use. An example is the menace of chargebacks, which he noted was responsible for the loss of about $19 billion suffered by merchants in 2017.
Crypto has been touted as a potential solution to such issues like identity theft or chargebacks, with proponents stating that the use of blockchain reduces this by not storing any sensitive details on the ledger.
As early as March 2016, JM Bullion announced that it would let customers buy gold and silver using Bitcoin through BitPay. At the time, the bullion company said they were going to give a discount of four percent to those customers who would pay for their precious metals using cryptocurrency.
OneGold has said it will take payments made in fiat or cryptocurrency, as well as a combination of both. A potential sticking point of wild price swings due to volatility won’t be a problem as that is taken care of by BitPay’s payment system.
Bitpay’s growing influence in crypto payments
BitPay is not only the leading bitcoin payment processor, but it has over the last few months moved to cement that position with many real deals, most of which have to do with becoming the go-to payment processor.
Last week, the platform partnered with Ohio’s tax office to help businesses use of bitcoin to settle their local tax obligations. That came after the payment provider joined hands with the Great Lakes Science Center museum located in Cleveland, Ohio to allow visitors to pay the admission fee in crypto.
In July BitPay received the BitLicense from the New York Department of Financial Services (NYDFS), allowing it to set business in one of US’ most important financial hubs.
Even though the crypto market meltdown has hit digital assets hard, BitPay COO Sonny Singh said in November that the market would recover massively in 2019, primarily as major institutional investors prepare to make an entry into the market.
Among these big players is investment giant Fidelity as well as U.S Securities and Exchanges Commission’s potential approval of a Bitcoin exchange-traded fund (ETF).
Disclaimer: This is not investment advice. Cryptocurrencies are highly volatile assets and are very risky investments. Do your research and consult an investment professional before investing. Never invest more than you can afford to lose. Never borrow money to invest in cryptocurrencies.