Coinbase has just announced a new bitcoin-powered debit card that will work anywhere that Visa is accepted!
The more people who use bitcoin, the more useful it becomes—the closer we get to a place where we can send money across the Internet as easily as we send texts or emails.
If you already have a Coinbase account, and looking for more ways to spend your bitcoin, head on ever to https://www.shiftpayments.com/
Card processing is up and running again! This applies to Visa & MasterCard transactions. Discover cards aren’t working yet, but we’re working to restore those as well.
Right now this only applies to new transactions made on the website. Recurring subscription transactions should resume on Monday at the latest. If your subscription has already expired (or will before Monday), you do not need to wait until Monday — you can re-purchase your subscription right away directly on the website to get back in on the action ASAP.
Thanks for your patience and support during these trying times!
This is the next part in the series of how to accept credit cards online as a “high-risk” company. If you missed the riveting first installment, head on over to Part 1 – The Process of Getting a Merchant Account.
In this installment we’ll explore all of the organizations involved.
- The Merchant: Hey, that’s us! A merchant accepts payment from a cardholder who enters the card details into the merchants website, who then securely passes it to a Payment Gateway for processing.
- Payment Gateway: Gateways act as the portal through which e-commerce merchants connect to acquirers. The gateway levies a service charge on every transaction to generate revenue. During the processing of a payment, the merchant website communicates directly with the gateway to determine if a transaction is valid (i.e. card, is not expired, address matches address on file, sufficient funds, not a stolen card, etc…).
- Acquiring Bank: The acquiring bank provides payment processing services to the merchant, enabling them to accept payments from cardholders. The bank levies a merchant service charge on every transaction to generate revenue. In addition there is an interchange fee which gets passed along to the merchant — that fee is paid to card network associations such as Visa and MasterCard. Acquiring banks are members of the card associations like MasterCard and Visa, and have the ability to process card payments directly.
- Payment Card Network Provider (Card Association): Card associations, such as Visa and MasterCard, act as the link between the issuer bank and the acquiring bank. The payment card network validates the availability of credit or funds with the issuing bank and communicates the same to the acquiring bank. The payment card network provider charges a fee for each transaction processed through its branded card by the card issuer/acquiring bank.
- Third-Party Processors: Third-party processors do not have direct relationships with the card associations (i.e Visa & MasterCard) so instead, they partner up with a Sponsoring Bank who does. This gives the Sponsoring Bank economies of scale by partnering with many many third-party processors and acting as one umbrella bank that maintains the relationship (and risk) with the card associations. As you might expect by now, processors also charge a fee based which eventually makes its way back down to the merchant.
- Independent Sales Organizations (ISOs): ISOs (aka MSPs) are entities that sell payment-processing services to merchants on behalf of acquirers/processors, but are not banks. ISOs also manage risky merchant accounts with a higher possibility of credit fraud, for which they charge a higher fee. There is no significant difference between an ISO and an MSP. MSPs are registered with MasterCard while ISOs are registered with Visa. And yes Watson, the ISO/MSP has their own set of fees too.
So now that you know the main parties that are involved, you can really start to appreciate that securing a merchant account is not just something that happens overnight. The Merchant has to interface with a sales agent at an ISO/MSP who has the relationships with various processors who ultimately answer to the acquiring banks to ensure that all of the rules of the card networks are being followed. Everyone has to do their own level of due diligence at various phases to make sure no one is taking on unnecessary risk, and that process takes time.
Has your premium membership subscription expired due to the devastating loss of the site’s merchant processor? While we all wait for this issue to be resolved so that you can resume your ability to participate in the community, we are offering the option to convert your available Boob Bucks into subscription time. Just let us know how many months you’d like to add onto your membership and we’ll convert the appropriate amount of Boob Bucks into subscription time.
And of course, if you’re fresh-out of Boob Bucks, look no further than this News post for a way to keep the dream alive for so many of the patient ladies!
P.S. A Bitcoin order will guarantee you a share of ~$1,000 in bitcoin profits if you order in the next few weeks. Don’t miss out on some free money!
As we stated last week we’ve began applying with foreign processors (European underwritten) who place less scrutiny on “creative” business models than than U.S. banks do. We have several applications submitted, including one in the United Kingdom with a “pre-approval.”
That said, the process is slow because we basically have to create a new entity in each country. It looks something like this
- Submit an inquiry for a processing account
- Get the sales team all the information they need regarding our business to determine if it’s eligible.
- Green or red light to apply.
- If green, establish a “registered agent” in that country along with a business address.
- Create a new entity/corporation in the country we’ll have a merchant account in.
- Wait for entity approval by that country. This time-frame varies greatly by country.
- Fill out the full application with the foreign processor using our new business information and provide supporting documents.
- Wait for an answer
Thank you again for your support in these extremely frustrating times. We will provide another update later this week as we have more information.
If you need to top-off your account with credits, donations or subscriptions Bitcoin Orders still work— and always will since bitcoin doesn’t require we get “approval” from some random human being who decides if you should be able to support bigger breasts.