How to accept crypto at your small business
A plain-English walkthrough for local shops: processors, verification, taxes, signage, training and refunds. Updated October 2026.
This guide explains how to accept crypto at your small business, step by step, from choosing a processor to your first live sale.
Information as of October 2026. This guide is general information, not tax or legal advice. Confirm the details with your CPA or attorney.
1. How to accept bitcoin payments: BitPay vs Flexa
Most shops shouldn't hold crypto. A processor takes the customer's crypto and pays you US dollars. Two common options:
| Feature | Flexa | BitPay |
|---|---|---|
| Fee | 1% flat (source) | 2% + $0.25 under $500K/month (source) |
| Device | iPhone or iPad app | Quick Checkout for Web in a browser (source) |
| Settlement | “Guaranteed settlement at the time of authorization” (source) | USD next business day (source) |
| Best for | Small and mid tickets | $5,000+ tickets |
2. Business verification (KYB)
Processors verify your business before you can take payments. Expect to provide:
- Photo ID for every owner with 25%+ ownership
- Business registration and tax-ID document
- Proof of address from the last 90 days
- Business bank account details
- A website showing what you sell, with prices, terms and privacy pages (BitPay requires an active website: source)
New BitPay accounts start at $10,000/day and $500,000/year. Higher tiers need bank statements or a bank letter. Buyers paying over $3,000 complete a one-time BitPay ID check (source).
3. Crypto payments for small business taxes: the basics
- Crypto you receive for goods or services is income at its fair market value in US dollars when received (IRS). Settling straight to dollars generally avoids later gains or losses.
- Certain payment processors report on Form 1099-DA (IRS).
- Form 8300: under IRS Announcement 2024-4, businesses don't have to count digital assets toward the $10,000 cash threshold until regulations are issued (IRS).
- Sales tax still applies to the dollar value of the sale. Confirm your state's rules with your CPA.
4. Signage
Customers won't ask if they don't know. Put a decal on the door, a tent card at the register, and a line on your website and Google listing that says you accept crypto. Download our free signage kit.
5. Staff training
- How to start a payment, show the QR code and confirm it's paid before handing over goods
- What to do if a customer underpays
- Scam red flags: pressure to rush, requests to “send change back in crypto,” or overpay-and-refund requests
- Have everyone who runs the register initial a training sign-off sheet
6. Refunds
Crypto payments can't be charged back, so refunds go through your processor's dashboard, by an owner or manager only. Never refund in cash or from a personal wallet. BitPay refunds may require the customer to complete BitPay ID.
7. Test, then go live
Run a small test transaction, practice a refund, and check the deposit lands in your bank before your first real sale.
We never touch your funds. Money goes straight from the processor to your bank.FAQ
BitPay vs Flexa: which should my small business use?
In our routing, average tickets under $5,000 use Flexa (1% flat) and $5,000 and up use BitPay (2% + $0.25, next-business-day USD settlement).
How do I accept bitcoin payments without holding bitcoin?
Use a processor that settles in US dollars. BitPay settles to your bank the next business day.