Author: David Barnes | Bitcoin Co. Ltd. 2015-07-17 15:47:24
Published on: 2015-07-17T15:47:24+00:00
A Bitcoin Improvement Proposal (BIP) has been put forward to allow merchants to know the exact exchange rate they will receive when accepting Bitcoin for payment. Currently, customers are picking any exchange rate they like, making it difficult for merchants to be sure of receiving the correct amount. The BIP proposes that customers' wallets should be able to determine the exact rate being offered by the merchant so that when a customer pays a certain amount, the exact same amount is received by the merchant. Merchants could print out a QR code with address, and when customers wish to pay Bitcoin they scan the QR code and pay the amount the merchant tells them. The merchant/staff would then instantly receive an SMS that payment has been received. The BIP assumes that staff do not have any app and are just ringing up the customer in their standard POS and telling the customer the fiat amount they must pay. It also assumes that the merchant is going to move the coins to a service or exchange to convert so needs to use the rates from that service/exchange. There will be an SMS notification sent to the staff, and there are also a number of services that provide SMS notifications upon Bitcoin transactions to a specific address. In some cases, the merchant may just be willing to trust the customer, especially for small food items, or repeat customers etc.The DRP may provide historical rates or, in the case of one service provider, an order is created in the system, and the rate is saved at the moment the unconfirmed Bitcoin transaction is received. However, this is outside the scope of this BIP, which is simply to look up the current spot rate the DRP is offering. The BIP makes the assumption that the merchant will receive an SMS that payment has been completed, and the amount of the payment (in the fiat currency). This is outside the scope of the actual BIP as the merchant is free to use whatever method they want to get notified of a payment. The BIP suggests that requesting dollar amounts from customers leads to problems, but with their service, the merchant will receive an SMS that payment has been completed and the amount of the payment (in the fiat currency). The BIP is designed to be easy for merchants to use without any training or owner (Bitcoin interested guy) being present.While it is not so much an issue with not having internet, it is more the issue of not being properly trained on how to use the apps/internet. Even with training, staff members can easily forget if they don't see a Bitcoin customer for several weeks. This conclusion is based on first-hand experience and feedback from Bitcoin customers and merchants.
Updated on: 2023-06-10T02:49:01.249758+00:00