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Glossary

Crypto Invoicing

November 21, 2023 - Around 3 mins mins to read

Understanding Crypto Invoicing

Crypto invoicing refers to the process of generating detailed bills and invoices for products or services using cryptocurrency. This method allows you to bill your clients in crypto directly through email, eliminating the need to switch between different wallets and applications.

With the increasing popularity of cryptocurrencies, more and more people now own small amounts of popular tokens. As a result, businesses and individuals are considering accepting cryptocurrencies as a form of payment for their goods and services.

However, the user-friendliness of crypto payments remains a challenge. Unlike traditional payment gateways or retail point-of-sale systems, sending crypto payments involves copying long strings of hexadecimal numbers that represent the recipient’s wallet address. Additionally, properly documenting counterparty information and transaction details for bookkeeping and tax purposes is more difficult compared to traditional invoices. This creates administrative difficulties when dealing with crypto transactions for accounting and tax purposes.

In order to achieve widespread acceptance of cryptocurrencies as a payment method, it is crucial to have an easy way to send, receive, and pay invoices with crypto. A crypto invoicing tool allows you to efficiently create, manage, track, and review all crypto payments requested by your customers. The tool provides a pre-designed template that can be fully customized with the necessary information. You can then share the invoice with your customers via email, social media, or text message.

When the recipient clicks on the shared link, they will be able to see the itemized bill and the requested amount. The crypto invoicing tool scans the blockchain explorer and notifies both parties when the payment has been made to your digital wallet.

The Growing Market for Crypto Invoicing

Cryptocurrencies are gaining a larger share of the global payments market. Major payment companies such as Paypal, Venmo, Visa, and Mastercard have partnered with crypto businesses to allow users to use their digital assets to make purchases at millions of retail stores worldwide. According to data from Request Finance, nearly half of the $150 million worth of crypto invoices were paid in stablecoins like DAI or USDT.

Even mainstream businesses like McDonald’s, Starbucks, AMC, Pizza Hut, and others have started accepting crypto payments. Additionally, freelancers, professionals, sports personalities, artists, and politicians are also considering accepting crypto payments. Furthermore, countries like El Salvador have already accepted Bitcoin (BTC) as legal tender, and many other countries are exploring the use of stablecoins or central bank digital currencies (CBDCs).

As financial preferences change, crypto invoicing is becoming increasingly important. Some benefits of incorporating crypto invoicing into your accounts department include:

  • Quick and easy generation of invoices

  • Full customization of invoices according to your brand standards

  • Elimination of human error in payment processing

  • Fast, secure, and cost-effective payment processing thanks to blockchain technology

  • Efficient management, review, and tracking of all invoices

  • Increased business opportunities as customers prefer crypto payments

Author:

Christophe Lassuyt, CEO & Co-Founder of Request Labs and Request Finance, is an alumnus of YCombinator (W17) with extensive experience in banking, finance, and blockchain technology. He holds a Bachelor’s degree from the University of Mannheim and a Master’s in Finance degree from the NEOMA Business School. Christophe has held prominent roles in leading organizations across Europe and co-founded a remittance service platform called Moneytis. He has also served as the Chief Financial Officer for several companies, including Virtua SA and Eurenka.

Connect with Christophe on LinkedIn.

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Coincu

Glossary

Crypto Invoicing

Understanding Crypto Invoicing

Crypto invoicing refers to the process of generating detailed bills and invoices for products or services using cryptocurrency. This method allows you to bill your clients in crypto directly through email, eliminating the need to switch between different wallets and applications.

With the increasing popularity of cryptocurrencies, more and more people now own small amounts of popular tokens. As a result, businesses and individuals are considering accepting cryptocurrencies as a form of payment for their goods and services.

However, the user-friendliness of crypto payments remains a challenge. Unlike traditional payment gateways or retail point-of-sale systems, sending crypto payments involves copying long strings of hexadecimal numbers that represent the recipient’s wallet address. Additionally, properly documenting counterparty information and transaction details for bookkeeping and tax purposes is more difficult compared to traditional invoices. This creates administrative difficulties when dealing with crypto transactions for accounting and tax purposes.

In order to achieve widespread acceptance of cryptocurrencies as a payment method, it is crucial to have an easy way to send, receive, and pay invoices with crypto. A crypto invoicing tool allows you to efficiently create, manage, track, and review all crypto payments requested by your customers. The tool provides a pre-designed template that can be fully customized with the necessary information. You can then share the invoice with your customers via email, social media, or text message.

When the recipient clicks on the shared link, they will be able to see the itemized bill and the requested amount. The crypto invoicing tool scans the blockchain explorer and notifies both parties when the payment has been made to your digital wallet.

The Growing Market for Crypto Invoicing

Cryptocurrencies are gaining a larger share of the global payments market. Major payment companies such as Paypal, Venmo, Visa, and Mastercard have partnered with crypto businesses to allow users to use their digital assets to make purchases at millions of retail stores worldwide. According to data from Request Finance, nearly half of the $150 million worth of crypto invoices were paid in stablecoins like DAI or USDT.

Even mainstream businesses like McDonald’s, Starbucks, AMC, Pizza Hut, and others have started accepting crypto payments. Additionally, freelancers, professionals, sports personalities, artists, and politicians are also considering accepting crypto payments. Furthermore, countries like El Salvador have already accepted Bitcoin (BTC) as legal tender, and many other countries are exploring the use of stablecoins or central bank digital currencies (CBDCs).

As financial preferences change, crypto invoicing is becoming increasingly important. Some benefits of incorporating crypto invoicing into your accounts department include:

  • Quick and easy generation of invoices

  • Full customization of invoices according to your brand standards

  • Elimination of human error in payment processing

  • Fast, secure, and cost-effective payment processing thanks to blockchain technology

  • Efficient management, review, and tracking of all invoices

  • Increased business opportunities as customers prefer crypto payments

Author:

Christophe Lassuyt, CEO & Co-Founder of Request Labs and Request Finance, is an alumnus of YCombinator (W17) with extensive experience in banking, finance, and blockchain technology. He holds a Bachelor’s degree from the University of Mannheim and a Master’s in Finance degree from the NEOMA Business School. Christophe has held prominent roles in leading organizations across Europe and co-founded a remittance service platform called Moneytis. He has also served as the Chief Financial Officer for several companies, including Virtua SA and Eurenka.

Connect with Christophe on LinkedIn.

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