I own a business and recently started accepting BCH payments. If a customer pays me when 1 BCH = $190 and I keep that BCH, but the price later falls to $187, it feels like I've taken a loss. If I had simply kept the value in my local currency, I wouldn't see such day-to-day fluctuations. Of course, BCH can also appreciate and turn that "loss" into a gain. But for a merchant with expenses to pay, volatility is a real concern. So I'm curious: how do other BCH merchants deal with this? Do you convert BCH immediately, keep a percentage in BCH, or simply accept price swings as the cost of using sound money? #Bchverified image

Replies (19)

Joy's avatar
Joy 1 week ago
Wow that's good
A key business risk is currency mismatch. It is always best to earn currency in the same currency as expenses. Major corporations have the same issue in regard for example earning USD yet having expenses in a local currency. Suggestions: - Convert the fraction of the BCH sale expected required for local currency expenses at the time of sale. - Seek suppliers that accept BCH, therein currency matching to sales earnings. As a positive, the fact you accept BCH at your shop may draw completely new customers that wish to use their BCH. Market your business on this platform. Good luck and support your use of the best global currency ever developed.
Volatility is definitely a challenge for merchants. Many seem to solve it by converting what they need for expenses and holding the rest. Over time, as BCH adoption grows and price discovery improves, volatility may become less of a concern.
I think many BCH merchants treat volatility the same way businesses deal with foreign currencies. Some accept the price swings, while others reduce risk by converting immediately or keeping only a portion in BCH.
Sugardoll's avatar
Sugardoll 6 days ago
maybe you should handle the ups and down then wait until you gain☺️☺️☺️
Ralph's avatar
Ralph 6 days ago
I've heard some use a privacy-first stablecoin like Freedom Dollar (fUSD) to mitigate risks. I'm not entirely sure on the mechanics since I do t have merchant experience.
sensible question. high volatility currency requires strong spare cash to cover the highs and lows. I would not personally rely on it too much because regardless of the exchange rate, your bills are likely the same. Hence, the spare cash aside or keep the volatile currency that your business can afford to lose. Take that as you will. tc! ☺️👌