Bitcoin PoS Terminal – Accept Bitcoin in the retail store
This post is also available in: German
Bitcoin PoS Terminal
Do you run a retail store or restaurant? You are a craftsman or provide a service and customers are in business with you and would like to pay with Bitcoin?
In this post, we explain how to accept Bitcoin payments in your retail store. The different options are presented and the providers through which you can obtain a Bitcoin PoS terminal.
The abbreviation PoS stands for Point of Sale. A PoS terminal is a payment terminal that settles cashless payments at points of sale. A Bitcoin PoS terminal is equivalent to a Bitcoin payment terminal for payment processing of Bitcoin payments.
If you already accept cashless payments for card payments in your retail store, you are familiar with the basic principle of this form of payment processing.
It’s much easier to process payments via Bitcoin. There are solutions for small businesses that don’t expect big sales yet and are available in minutes. There are also professional solutions for larger retail stores with higher revenue expectations that include an independent hardware solution.
We present these different possibilities for Bitcoin PoS Terminal solutions here:
Mobile Wallet as Bitcoin PoS Terminal
If you only have a small circle of potential users and expect a small volume, it is recommended that you ask your customers to send the payment directly to your wallet.
Thus, the easiest way to accept Bitcoin in the retail store is to install your own Bitcoin Wallet on your smartphone. If a customer wants to pay with Bitcoin, then they take their smartphone, enter the amount in euros on the wallet app and show the customer the QR code so that they can send the payment.
This is the fastest and easiest way to easily accept Bitcoin payments.
However, this presupposes that the shopkeeper is on site with his own smartphone and takes bitcoin into his own possession.
For this form of Bitcoin acceptance, any mobile wallet is suitable.
If it turns out that the demand for payment via Bitcoin increases, a business smartphone with a Bitcoin wallet can be a solution, which employees can then use for payment processing.
Mobile Merchant Wallet
For a more professional use, there are solutions that can be run on a worn-out smartphone. All employees can then use the smartphone to accept the Bitcoin payment. Payment acceptance can be used by all employees. The possession of the collected Bitcoin balance should be withheld from the employees and only the boss is possible.
This can be done with the help of an xpub key. The xpub key generates an infinite number of public Bitcoin addresses, which can be shown to customers for payment. Access to the private key required to send payments remains under the control of the boss.
To create an xpub key using the Electrum Wallet, see: “Set up Electrum Wallet and connect to the BTCPay Server“. In this post you will learn how to generate an xpub key. When the xpub key is deposited with the BTCPay server, the key is stored in the payment app.
With the provider Bitpocket, I, as a merchant, leave a Bitcoin address to which my Bitcoin is sent. Instead of a single Bitcoin address, I can also deposit the xpub key.
During payment, the invoice amount is entered in the Bitpocket app. The app calculates the amount based on the current exchange rate and monitors the incoming payment.
The Bitcoin will then be forwarded directly to the Bitcoin address stored at the beginning. This makes BitPocket particularly suitable for stores where several employees work at the checkout and accept Bitcoin payments. The employee can only accept Bitcoin payments, but cannot make any payments himself.
With the BitPocket app, the shop owner is credited with the equivalent value in Bitcoin.
In the solution of the provider Inapay, the merchant receives the equivalent in euros.
After the app has been installed on the Smarphone, the dealer’s address and bank details are stored.
For example, if the end customer pays for €50 in Bitcoin, the merchant will have the same amount credited to his business account.
In addition to the mobile solution via app, web-based solutions are also offered.
Web-based Bitcoin PoS Terminal
A web-based Bitcoin PoS terminal is accessed as a normal website via a smartphone or a pad.
In advance, the shopowner stores the products with descriptions and prices.
If an end customer wants to pay in the store, the shopowner calls up the corresponding website via his smartphone or an iPAD.
The store owner can select the products that the customer has purchased or consumed. A shopping cart function calculates the total amount. Optionally, an allowance can also be specified. The invoice amount is calculated, the end customer can still tip, the bitcoin amount is calculated and transferred to the Bitcoin address of the trader after successful payment.
An example of a web-based POS terminal is a tea business implemented with the solution of BTCPay.
A detailed creation of your own Bitcoin PoS terminal based on BTCPay Server can be found at: “Web-based PoS Terminal”
Hardware Bitcoin PoS Terminal
A hardware Bitcoin PoS Terminal is a standalone hardware for cashless payment processing in the business. Most shopkeepers use a similar terminal for payment by credit card and bank cards. These terminals are available in various forms and functions also for the acceptance of cryptocurrencies.
The terminals mainly differed in the range of crypto currencies that can be accepted with the terminal. What these devices have in common is that the merchant does not have to worry about the current Bitcoin price or billing.
The euro amount is communicated to the terminal, the end customer pays with the cryptocurrency of his choice and the trader receives a credit in euros to his bank account.
The Bitcoin PoS terminal are offered by various manufacturers. An overview of the different providers can be found at Coinpages at: Bitcoin PoS Terminal Provider
The POS terminals can either be purchased or rented for a monthly fee. In addition, a turnover-related transaction fee is charged.
Payment to the dealer is made by weekly settlement to his own bank account.
The provider iQ CashNow offers its terminal for €399,- for purchase and a transaction fee of 1% of turnover.
The provider C-Novation Pay offers terminals from €415,- to €597 in different versions. The cheapest device supports crypto currencies as well as card payments and Apple and Google Pay possible.
No information is given about monthly fees or the amount of the individual transaction fees.
The provider Walledo offers a POS terminal for €499,- plus VAT and shipping costs. No other transaction fees are charged. The conversion and payment is made to the bank account. The Walledo POS solution offers not only the acceptance of Bitcoin payments but also the possibility to sell Bitcoin.
The end customer gives the merchant cash and receives a Bitcoin voucher. This voucher can then be redeemed in Bitcoin on the Walledo homepage.
The provider Salamantex supports the crypto currencies Bitcoin, Stellar, Dash, Ethereum, Litecoin and Ripple with its terminal. The terminal has an interface to various cash register systems. The price and transaction fees are not openly communicated. Currently Salamantex is mainly active in Austria and is preparing a market entry for Germany.
In addition to the hardware and billing of bitcoin sales in euros or CHF, the various providers also offer marketing support. Traders who accept Bitcoin receive stickers for the store, training for employees and ensuring the application in Bitcoin directories such as coinpages.
This post is also available in: German