Wed Nov 25, 2015 4:46 pm

A lot of companies that accept bitcoin don't offer discounts or incentives for the consumer to pay in bitcoin. Why do you think this is? Do you try change this approach? If so, what are some ways you try to convince merchants that it is in their interest to persuade their customers to start paying in bitcoin in the long term?

.................Thanks for participating in this AMA. That's a great question.There are many reasons companies decide to hang the iconic "Bitcoin Accepted Here" sign. Not all of those reasons have to do with transaction costs, friction, etc., it could be they want first mover advantage, although that's narrowing every day, publicity, international trade, international transfer and a host of other great attributes.Merchants may have no room for discounts. Transacting Bitcoin through payment processor BitPay will cost 1% on a business package (starter package is free up to daily $1,000 or 30 transaction/mo then 1%) . Transacting Bitcoin without a payment processor brings costs as well. Setting up a wallet, buying Bitcoin Hardware Wallets like KeepKey or Ledger, integrating software into shopping carts, setting up 2FA, locking down networks, and more.As well, in recent times conventional payment processors like Visa /MC have been pressured to lower merchant rates.Even with a slight competitive edge on transaction fees, we cannot incentivize a merchant to accept Bitcoin by convincing them the transaction costs are lower and then tell them to give those savings back to the customer.We tell merchants that the time is now to ready their systems and staff for the next round of Bitcoin madness. And that by hanging that iconic "Bitcoin Accepted Here" sign they are demonstrating to their customers they are staying in step with the latest in payment technologies.Bitcoin is on its way to proving itself as a reliable and stable store of value, it's not quite there yet. And when it does what it's suppose to do, appreciate in value, it will be BIG.