What is a crypto payment gateway?

A crypto payment gateway is a service that connects a website or shop till to a blockchain so the business can accept cryptocurrency. It prices the order in crypto, shows the customer where and how much to pay, detects the transaction on-chain and tells the store the order is paid. The terms gateway and processor are often used for the same thing.

What is a crypto payment processor?

Strictly, the gateway is the checkout connection and the processor is the company that handles the money behind it, such as converting crypto to dollars and paying the business. In crypto most providers do both. BitPay, Coinbase and Stripe each offer checkout tools and settlement in one product. Our guide to how businesses accept crypto payments covers the commercial side, such as fees, chargebacks and tax.

How does a crypto payment work at checkout?

The steps are similar across providers:

• Quote. The gateway creates an invoice with an exact crypto amount. BitPay, for example, gives the shopper a 15-minute window, and a late or wrong amount is refunded rather than accepted.
• Pay. The customer scans a QR code or connects a wallet. Stripe sends shoppers to its own crypto page to choose a stablecoin and network and connect a wallet.
• Confirm. The gateway watches the blockchain and marks the order paid once the transfer confirms. Coinbase's docs say low-cost networks such as Base and Polygon allow near-instant confirmation.
• Settle. The funds land with the merchant in the chosen form.

Because the amount and network are set by the gateway, it avoids many errors that happen when someone types an address by hand, a risk covered in what happens if you send crypto to the wrong address.

What is a crypto gateway's settlement option?

Settlement is where gateways differ most. Stripe settles stablecoin payments into the merchant's Stripe balance in local currency, accepting USDC on several networks as of November 2026. Coinbase Commerce converts what the customer pays into USDC, which merchants can keep in a self-custody or multi-signature wallet. BitPay lets businesses settle in local currency, crypto or a mix.

A gateway that converts to cash removes price swings for the merchant. One that pays out in stablecoins keeps the money on-chain, and one that pays in the original coin leaves the business holding that asset.

How do merchants accept crypto without a third party?

Some merchants run their own gateway. BTCPay Server describes itself as a self-hosted, open-source payment processor with no processing fee. Payments go straight to a wallet the merchant controls, and it connects to shop platforms such as WooCommerce and Shopify.

The trade-off is work and responsibility. The merchant runs the server, secures the keys and handles conversion and records itself. Hosted gateways take a fee but do that work. For one large provider's version, see can you accept crypto payments with Stripe.