Cryptocurrency, especially bitcoins, is widely popular these days and more and more investors are investing in cryptocurrencies to earn some money. The profits cryptocurrency is providing has made many investors millionaires overnight, which is inspiring even common people to try their luck in cryptocurrency. But the question many people have in their heads is whether they can pay bills using cryptocurrency. The answer is yes. Many companies have already started to accept cryptocurrencies for paying phone bills, electric bills, water bills, etc.
Paying your bills using cryptocurrency
There are different ways to pay your bills using cryptocurrency. While some offer direct payments, some will ask you to convert your cryptocurrency into fiat money to pay the bills. Here are the different methods which allow you to use cryptocurrencies to pay the bills.
- Cryptocurrency Bill Payment Platforms
There are different Cryptocurrency Bill Payment Platforms that convert bitcoins into fiat currencies like USD. Thus you can pay your bills using cryptocurrency. Coinsfer is one such cryptocurrency bill payment platform. You are also allowed to set a schedule on such platforms and then forget it after use.
- Bitcoin Debit Cards
The easiest method to make use of cryptocurrencies for bill payments is through bitcoin debit cards. Like the other debit cards, bitcoin debit cards can be used as an easy payment option. While swiping the card, the protocols in the bitcoin debit cards easily convert bitcoins to US dollars. There will be a small transaction fee for each transaction, but the fee is very less when compared to the fee the crypto exchanges charge for converting bitcoin to USD. The merchant to whom the payment is done will be receiving the money in the form of native currency. Thus you can use bitcoin debit cards to shop at any local store. The bitcoin debit cards also offer sign-up to initiate auto-pay.
- Direct to Biller Bitcoin Payments
Several utility companies have also begun to accept bitcoins. You don’t have to pay a conversion fee or service charge, which is the best advantage of using a direct to biller bitcoin payment. They make use of a bitcoin account or wallet for faster transactions. Arizona has already passed legislation accepting cryptocurrencies for the payment of local and state taxes. Other states like Georgia and Illinois are planning to allow bitcoin for paying state taxes.
- Crypto loans
Investors looking to make profits from their crypto investments may look forward to crypto-backed loans. You can lend your cryptocurrencies and earn good interests through these loans. If you need quick credit lines, you can provide your cryptocurrencies as collateral and get a loan.
These methods can be used to pay not only your bills but also your debts. Crypto loans can be a good choice to pay your debts. If your credit card company allows crypto payment methods, you can pay for your credit card using cryptocurrencies. You can also pay off the debt of your student loan using bitcoins. If you are paying high interest for your student loan, you can use your cryptocurrencies to refinance your dues.