Should Your Small Business Invest in Crypto in 2025?

Key Takeaways 

• Small businesses should use non-custodial wallets, as they give them full control over their crypto assets while reducing reliance on third parties.
• Crypto payments can reduce transaction fees from 2–4% (typical with credit cards) to near zero.
• It allows for instant international transactions without any need for traditional banking infrastructure.
• These transactions are irreversible, though they minimize fraud and chargeback risks.
• Businesses that want to adopt it can start by gaining basic crypto knowledge and choosing the right wallet while following regional regulations.

In 2024, Tether, which is the company behind the world’s most popular stablecoin, USDT, reportedly earned $13 billion in profits, which was more than the surplus of Goldman Sachs. And at the same time, brands like Mastercard, Visa, PayPal, and Microsoft doubled their investments in crypto initiatives, which showed that crypto is no longer a tech trend but a business strategy. (Source: PYMNTS)

But the question here that stays unanswered is should small businesses join in? Will it help them cut their transaction fees or reach out to international customers?  Or is it too risky for such small ventures? Don’t worry, all your questions will be answered here in this article, whether it’s about doubting crypto as a smart investment or just wanting to do it safely. So let’s get started!

Safety First: Why a Non-Custodial Wallet Matters!

Before you start your business transactions with cryptocurrency, your assets should be securely stored, and that can happen by choosing the right wallet, as it decides how much control and safety you have over your funds.

A non-custodial wallet differs from other custodial options because it allows you to manage your own cryptocurrency exclusively by storing private keys that, too, without being dependent on any third-party service, such as centralized exchanges. And since you retain sole ownership of your seed phrase (keys), you are the only person who controls the access and manages the functionality of your digital assets. Interesting, right?

This level of control is important for small businesses, as it eliminates a critical point of vulnerability. Another major benefit it has is flexibility, as these Businesses can easily access DeFi platforms through non-custodial wallets either to generate earnings from crypto lending or to borrow money for their business. 

Big Companies Are Already Accepting Crypto

The Major organizations from all over the world have already adopted cryptocurrency and blockchain technology into their business operations. This progress of adding crypto adoption and digital finance in regular business operations highlights a permanent change. 

In 2024, Mastercard launched its first peer-to-peer transactions by using its Crypto Credential service, and the program was a success. It is also expected that NFT transactions will follow it soon, too. Another interesting thing is that Crypto users can now transmit cryptocurrency by using friendly usernames rather than those lengthy wallet addresses. It also provides customers with the cards that support crypto transactions at all locations because of its partnership with Crypto.com, which amounts to over 150 million sites. 

 Fun Fact Cryptocurrencies exceed the growth rate of traditional payment methods, which is on average 8% from 2018 to 2023, with a compound annual growth rate (CAGR) of 99% in ownership.   (Source: Triple-A)

After Mastercard, PayPal has also embraced crypto. So, Users can now directly purchase, maintain, and exchange Bitcoin and Ethereum from their PayPal accounts. This also enables users from specific markets to use their crypto balance for paying at online stores through its “Checkout with Crypto” feature.

Similarly, through partnerships with Coinbase and Binance, Visa now provides its users with crypto debit cards. This card helps them in making seamless payments by automatically converting crypto funds into their local currency. 

Some tech companies have also adopted crypto now. Tesla has also acquired considerable Bitcoin assets and maintains active exploration of cryptocurrency in its financial structure. Microsoft also allows its customers to use Bitcoin for purchasing digital items in its Xbox and Windows stores.

If we look at retail and e-commerce, there are many major online merchants that now have Bitcoin processing options from BitPay and Coinbase Commerce, just to deliver flexible checkout procedures to their customers. Moreover, Gucci and other luxury brands have operated it too in selective locations where customers can make payments with cryptocurrency. All these actions show the growing interest in digital assets in high-end markets. 

Now you can think yourself, if all these big companies are accepting crypto, then why not small businesses? The only thing that I can say here is that companies that are adaptable to digital economic growth will expand in every aspect, but the ones that are not thinking of it can see themselves.

How Crypto Can Help Small Businesses

The advantages that you will see while  using cryptocurrency for your business operations are

1. Traditional payment processors that use credit cards bill their customers between 2% and 4% in fees. But your business expenses can be noticeably reduced by using crypto.
   
2. The use of crypto allows international payments within seconds.
   
3. Your business can make an international customer base and also bypass the requirement of building additional banking infrastructure smoothly.
   
4. Cryptocurrency payments create a system that protects the owner from having their funds reversed since crypto payments cannot be undone.  And this thing reduces the risk of fraud. 

5. Lastly, you will have full control over your funds because a non-custodial wallet has no middlemen.

The Risks and Challenges to Consider

The adoption of cryptocurrency comes hand in hand with some specific risks that users should be aware of to handle them well. Price volatility is the first concern as the value of cryptocurrency keeps changing swiftly. And A negative change can result in reduced monetary value, but stablecoins can tackle this issue. 

USDT, in particular, is the common coin of choice for global business transactions, which is tied to the US dollar (always equal to one dollar). 

Additionally, switching to crypto involves a learning process of new platforms, which requires time and work. And as not all customers are comfortable with cryptocurrency, the effect on sales growth will not happen right away. So keep some patience.

Fun Fact The first transaction using Bitcoin was for two pizzas in 2010 by A Florida man who paid 10,000 BTC, which is worth about $630 million today.en from the internet 

Steps to Start Using Crypto in Your Business

1. Understand the basics of crypto, especially how it works, wallet management, and how transactions are made.
   
2. Then, select a wallet that is secure and accessible for your requirements.
   
3. Your private keys must be protected. So, for that, some users store their seed phrases on physical devices, while others keep copies offline, usually on paper (written down). You can do it your way.
   
4. Before proceeding further, check the rules about crypto in your region. And don’t forget to comply with both income reporting requirements and specific legal requirements.
   
5. Establish crypto payments through various tools (gateways) so that your website can integrate these crypto payment gateways.
   
6. Notify your customers about the crypto payment option. For better promotions, you can give a limited discount to customers who want to pay with crypto.

Is Crypto a Good Investment for Your Business?

The decision depends on your overall business objectives. So if you want to grab tech-oriented clients and minimize transaction costs, implement crypto payments. It will also help you in staying on top of market innovations. 

If your customer base does not use cryptocurrency yet, or in case you are not prepared to handle potential risks, waiting to observe is also a good idea. Your crypto journey may begin with accepting payment with Bitcoin or Ethereum, or maybe by investing a minimal percentage of your profits to understand the crypto market. But it will surely take your business to a height. 

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