With the evolving financial world, businesses are always looking for solutions that make online transactions efficient. So when the crypto adoption increased globally, businesses found a new solution in accepting it for payments. Realizing the benefits of accepting crypto payments, businesses started to integrate crypto payment gateways. But what merchants figured out is that although important, KYC verification presents significant challenges for them. As a result, merchants have started to integrate no KYC crypto payment gateways into their platforms.  

But, let’s address the key problem here.

Why do merchants avoid crypto payment gateway with KYC?

Many merchants try to avoid KYC verification despite being an important procedure. The most common reason is that it is quite time-consuming. One has to provide several documents and information about himself. Those who fear that their data will get stolen or used without their consent are reluctant to go through the KYC verification process. 

Another issue is privacy. Information provided for the KYC procedure can be subject to cyberattacks. Statistics show that in 2023, the US experienced 3,000 instances of data compromises. Also, data breaches and leaks affected over 300 million people.

As a result, individuals don’t want third parties to have access to their personal data and financial information. 

5 Reasons to Integrate Crypto Payment Gateway without KYC

Let’s look at how accepting crypto payments through a payment gateway with no KYC can be beneficial for you.

• Maintains privacy:

Crypto payment gateways usually require users to complete the KYC verification procedure which includes providing information such as name, address, etc. This is an obstacle for customers who value their privacy. Businesses themselves also may not want to store sensitive data due to security concerns. No-KYC payment gateways enable their users to register on the platform without verification.

• Robust security:

Even though KYC verification is not required, such gateways provide effective security measures. Because they operate on blockchain technology, cryptocurrency payment gateways are safe and secure. They offer advanced security features such as Two-factor authentication (2FA) and encryption. This reduces the risk of unauthorized login access attempts and makes transactions secure.

• Faster transactions:

The KYC verification procedure is often time-consuming and dull. The more time will go behind verification, the more time it will take for merchants to do crypto transactions. Crypto payment processors without KYC provide the convenience of making fast transactions by signing up without the verification process. This also enhances the onboarding process.

• Global accessibility:

Crypto payment processors without KYC open up opportunities for businesses to access a global customer base. Customers from countries with strict banking regulations or limited access to financial services can make transactions without the obstacles of traditional financial systems.

• Reduced compliance burden:

KYC compliance can be a burden on businesses, requiring investment in staff, technology, and ongoing monitoring. For small businesses, these costs can be expensive. By choosing a no KYC crypto payment gateway, businesses can reduce the burden of regulatory compliance, allowing them to allocate resources more efficiently.

While these reasons seem promising, there are certain disadvantages to integrating it.

Disadvantages of crypto payment gateway without KYC

• Without KYC, it’s easy to conduct fraudulent transactions, increasing the risk for both the payment gateway provider and its users.

• Businesses that deal in large volumes of anonymous transactions might attract unwanted attention from regulators.

• Resolving chargebacks can be more challenging without verified user identities, leading to potential financial losses. 

Factors to consider when choosing a no-KYC crypto payment gateway

• Safety measures:

When choosing a no-KYC cryptocurrency payment gateway, prioritize features such as strong encryption and two-factor authentication (2FA) that protect against cyberattacks and ensure secure transactions.

• Multiple currency support:

For maximum transaction flexibility, pick a payment gateway that accepts different cryptocurrencies for payments. This should include altcoins and tokens along with currencies like Bitcoin and Ethereum.

• Easy to integrate:

The gateway should be easy to integrate with your existing platform. Select the one that offers APIs that offer minimum coding and plugins that are easy to install. 

• Transaction costs:

While selecting a crypto payment gateway for your business, consider the transaction fees. Different gateways have different transactional fee structures. For instance, certain crypto payments charge less than 1% on transactions.

• Customer support:

Customer support services are important to address the issues. Look for platforms that provide 24/7 support to address the issues related to transactions, registration, or integration.

Final Thought

KYC verification is an essential procedure to accept crypto payments. While it is important for the security measure, the procedure can be time-consuming and can affect privacy. This is why no-KYC payment gateways allow users to register without verification. However, businesses must select a payment gateway that has robust security protocols against cyberattacks, supports multiple cryptocurrencies, minimum transaction fees, and offers 24*7 customer support. Coinremitter is a crypto payment gateway that operates without KYC requirements and offers security features that ensure you make secure crypto transactions.