Broadly speaking, when merchants accept payments in crypto from their customers, the procedure of cooperation with most crypto payment processors is as follows:
- The customer pays from their address to an address given by the payment processor,
- Then the payment processor collects all the coins given to a certain merchant by their customers,
- Later, e.g., in a day, the merchant receives a certain amount of coins from the processor.
Indeed, it is not as smooth as it is described and has two considerable disadvantages. The first one regards the coins the merchant gets, and the second is about the time the merchant waits.
Many processors have a ‘blend pool’ for payments. It means a merchant does not get coins sent by the customer to the processor. It is a corresponding sum, not associated with the customer’s address but sent from the processor’s account. So, in this case the merchant has no idea who these coins belonged to before. Such a design can be unsafe and insecure. Theoretically, some suspicious money can arrive at your address. Also, it is complicated, not clear, and not transparent. The security level is low in this case.
If we speak about timescales, cryptocurrency is volatile, unfortunately. And the rate can change dramatically during the day. Sometimes, it can be unprofitable for merchants to take part in such a design because the rate can fall for this standstill period, and prices can drop.
Apirone uses a pattern which is much easier and more clear. It is called forwarding.
Forwarding of crypto payments is a service of instant transfer of coins from a customer to a merchant through a temporary address.
Transaction 1. Forwarding
When a customer pays in crypto, first, the coins are forwarded to an address generated in the Apirone wallet. This address will never expire, and we will monitor it infinitely. Also, in case of further payments, we will inform you about all details of its payments. You can store it in your wallet’s address book for reuse.
Transaction 2. Transfer to your address
Next, coins are sent from the forwarding address to your address. It is important to underline that this transfer occurs immediately. It means that the time spent for forwarding depends only on the blockchain and not the Apirone system. The service does not detain coins; it usually takes several seconds to receive crypto from customers.
The network fee is counted automatically and is subtracted from the amount transferred.
You can specify an address in your cold/hard wallet or on the crypto exchange.
This payment processing method is something in between custodial and non-custodial services. It means we control the coins for only a short period, after which they are transferred to you, and then you have total control of them.
Such a scheme helps merchants avoid complicated and nontransparent designs provided by other crypto payment processors. Forwarding is a simple and understandable service to make instant and secure payments obtaining all the advantages of the blockchain and mitigating the risk of volatility.