Recently, Bitpay announced its plans to process payments for several blockchains. The world’s largest Bitcoin payment processor now opts to use Bitcoin cash.
Based on the decision, it is now apparent that Bitpay will start processing Bitcoin cash (BCH) to settle invoices and to load debit cards. Definitely, the announcement is set to please supporters of BCH, especially upon its full implementation. What this means is that merchants and cardholders will be able to use Bitcoin cash to settle merchant invoices and to load their cards respectively, as soon as Bitpay completes the integration process.
In Support of Multiple Blockchains
Bitpay goes ahead to explain that multiple requests to support more than one blockchain have streamed in over the years. The company believes that the opportunity to allow merchants to admit payments from other digital platforms will signal new customer bases. Another reason for embracing alternative blockchains is the current network congestion witnessed in Bitcoin network as well as high fees charged.
According to the announcement, “Demand for Bitcoin transactions is outstripping capacity, causing miner fees to rise on the Bitcoin network…With multiple blockchain payment options, our merchant’s customers will be able to choose one with features, confirmation times, and miner fee levels that work for them.”
Collaboration With Core Network
Even so, Bitpay is quick to say that it will continue to collaborate with Bitcoin core network in a bid to build the chain. Currently, they focus on research and development of ideas that will lead to more reliable and affordable transactions. To that end, Bitpay assists with issues related to Lightning Network and Segwit implementation. Bitpay explains that Segwit implementation could help reduce fees and improve the network congestion issue.
Bitpay explains, “With average transaction fees already around $20, we understand that Bitcoin alone cannot handle the current demand for blockchain payments.”
What is Bitcoin Cash?
Bitcoin Cash is a cryptocurrency formed out of the Bitcoin core network through a fork mechanism. Unlike the main Bitcoin network, it has a faster and less congested network that enables faster payments. This eventually leads to significantly reduced miner fees charges.
When the integration is complete, all Bitpay merchant invoices will have Bitcoin Cash as the default payment method. The first step is to launch Bitpay Visa card top-ups. Next in the first quarter 2018, all Bitpay invoices will implement Bitcoin Cash invoice, even though customers will still have access to Bitcoin core invoices.
Bitpay says they will alert the public and their regular merchants prior to the launch of Bitcoin cash implementation. In conclusion, the Atlanta-based company says, “You will also continue to only receive the settlement type you have chosen, with zero volatility risk from price swings.”