Tag Archives: payment method

Cryptocurrency vs Fiat Currency – GAG Coders

As the world is moving towards a cashless society, the payment system around us is transforming into a digital economy. Currently, only a small percentage of global money is expressed as physical forms of currency, with the majority of money being exchanged electronically through online payment apps, online, or using debit cards.

What is fiat money? 

Cash. Greenbacks. Cheddar. Loot. No matter what you call the money that’s in your wallet or bank account, chances are your “money” is a specific type of currency called fiat money. 

In its most basic form, fiat money appears as coins or paper bills, which are widely used throughout the world. The world’s most commonly used currencies, like the US Dollar, Euro, Japanese Yen, or the pound sterling are fiat currencies. Though there are many fiat currencies, all of them are issued by governments and none of them are backed by commodities like gold or silver.

About Cryptocurrency

A cryptocurrency is a form of payment that can be exchanged online for goods and services. It’s a peer-to-peer system that can enable anyone anywhere to send and receive payments. Instead of being physical money that is carried around and exchanged in the real world, cryptocurrency payments exist purely as digital entries to an online database that describe specific transactions.

Major difference

Fiat CurrencyCryptocurrency
Fiat currency is backed by the Government and can be in the form of physical money or maybe represented electronically.A cryptocurrency is a digitally encrypted, decentralized currency that is not linked to or regulated by any government
Issued by the central bankOperates independently
Required to make transferNot required
Dollar, Rupee, Euro, PondBitcoin, Ethereum, Litecoin
Legal in all countriesIllegal in some countries
Fiat money may be used to make digital or physical payments or transfers of funds.Only a digital transfer of funds is possible with cryptocurrency.
Fiat currencies have a tangible appearance in the form of coins and notes.Cryptocurrencies cannot be touched or sensed in any way.

Bottom line

Greener alternatives in a financial system can promote an overall improvement in the global environment. By carefully regulating the number of carbon emissions, the financial system will thrive in a conducive environment and promote cost-effective financial services. 

Moreover, the global environment will be free from pollution, illnesses, and global warming, mainly avoiding eco-friendly options. While everyone must protect the environment, adopting a greener path will require a great collaborative effort from citizens, the monetary system, and the government.

How to Setup Different Payment Methods on Shopify

The payment modes are the very first thing you look for on an online store when making a purchase. Some of us prefer online banking, there are also those who’d rather choose cash on delivery for their orders. But as a store owner, how do you ensure that you’re catering to all types of customers and their payment preferences. Let us dive into how you can set up multiple payment modes on your store using Shopify.

1.Enabling Netbanking/ debit card/ credit card/ UPI 

To make it easier for you to offer multiple payment options to your customers, the majority of payment gateway partners have built one-click integrations with Shopify. All the payment gateway providers support majority payment methods like a credit card, debit card, UPI, and net banking.

To enable third party payment providers you need to follow the below steps:

  • Go to Settings -> Payments 
  • Head over to Third Party Providers 
  • Click Choose third-party provider 
  • Select the provider that you want to use from the list
  • Enter your payment gateway account credentials for the provider that you selected
  • Click Activate

To enable alternative payment providers you need to follow the below steps: 

  • Go to Settings -> Payments
  • In the Alternative Payments section, click Choose alternative payment
  • Choose a provider from the list shown 
  • Enter your payment gateway account credentials for the provider you chose
  • Click Activate to enable the provider

2. Setting up cash on delivery 

To let you easily enable and offer cash on delivery on your Shopify store, use an app called Advanced Cash on Delivery.

The app gives you more control over how and when your customers can use Cash on Delivery as a payment method, which pin codes cash on delivery is available on, the minimum value for which the payment method can be chosen, and configuring COD fees.

You can also upload postal codes of areas where you offer cash on delivery, add a snippet to your online store theme to let customers check if COD is available in their location.

Enabling cash on delivery in your store is easy. Your store comes with the Advanced Cash on Delivery app pre-installed. To enable cash on delivery manually follow the below steps:

  • Go to Setting -> Payments from your Shopify admin 
  • In the Payment providers section, select Manual Cash on Delivery 
  • Go to Additional details to enter any information you want to display next to the payment method 
  • Add Payment instructions for the customer to follow to pay for an order 
  • Click Activate 

3.Setting up buy now, pay later 

If you sell wholesale products or high-value items or typically see a high average order value on your Shopify store, you can consider letting your buyers pay for their purchases later using easy installments.

Here are the steps to follow: 

  • From Shopify admin, go to Settings -> Payments
  • In the Alternate Payments section, click Choose alternative payment 
  • Select Sezzle from the list 
  • Enter your account credentials for Sezzle (you need to have a verified account on Sezzle) 
  • Click Activate to enable the provider

4.Offering payments via wallets 

Some of your buyers will choose to make payments using popular wallets such as Paytm, PhonePe, Freecharge, Mobikwik, and other digital wallets. 

For this, you will have to ask the payment gateway provider you choose to enable those wallets for you. Shopify does not have direct integrations with these wallets. 

So to enable this, simply follow the following steps: 

  • Choose a payment gateway provider 
  • Request the payment gateway provider to enable a digital wallet you want to use 
  • Once enabled, you will be able to accept payments via the wallet 

Bottom line

Different consumers prefer different payment methods for making an online purchase. In most cases, if they do not see their preferred payment mode, they abandon the purchase and consider making the same from another store. Setting up multiple payment methods, will increase conversion rates, reduce cart abandonment, Display brand credibility and Offer a hassle-free checkout experience.