Author: Milko TV
Cryptocurrencies are one of the most volatile types of currency out there, and as such, there have been “crypto winters” throughout the history of the crypto space.
However, while many might initially panic or feel as if there is no recovery, the fact is that historically, the crypto space has survived numerous crypto winters only to come out on top, and this might be the case for the current winter.
Today, we are going to go over everything you need to know when it comes to accepting cryptocurrencies throughout crypto winter 2022 and go over how you can do so with ease.
- The cryptocurrency winter is the industry term that is utilized to describe a long downturn in the prices surrounding cryptocurrencies.
- These crypto winters will typically extend from some of the most well-known cryptocurrencies to non-fungible tokens (NFTs) and lesser-known altcoins.
- This is a reference to an extended period of time where the market is performing poorly within the crypto space and is comparable to a bear market in traditional marketplaces.
- The crypto winter is one of the best periods in which you can begin accepting cryptocurrency donations, and you can easily do so using the NOWPayments solution.
What is a crypto winter?
If you are curious as to what is crypto winter, when we look at the term “crypto winter” from the perspective of the cryptocurrency industry, this is a term that directly describes a time period throughout the space where there is a downturn in the prices and overall value of cryptocurrencies.
These crypto winters can affect any part and cryptocurrency class, from well-known and high market-cap cryptocurrencies to lesser-known altcoins. When it comes to how long is crypto winter, this can be months or even years, and due to the high volatility surrounding cryptocurrencies, it can be difficult to figure out exactly how long will the crypto winter last.
Furthermore, these crypto winters can also coincide with other economic declines or a bear market in the stock market. Keep in mind that this might not always be the case however. So if you are curious and are asking yourself, are we in a crypto winter, then all you have to do is look at the market prices.
This means that crypto winter is the point in time when prices contract and remain low for an extended period of time. This means investors would see flat returns throughout the winter and negative returns during a bear market. This is the crypto winter meaning.
Why is it a good idea to accept donations in crypto now?
There are numerous reasons why accepting cryptocurrencies at a point in time when there’s a crypto winter might be one of the best decisions you can make.
First, cryptocurrencies have historically managed to increase back up in value after a prolonged time period of downwards trends, so you might receive a cryptocurrency that is, throughout the crypto winter, low in value, only for the donation to over time increase in value as the cryptocurrency manages to grow in value. If you do not instantly need to utilize the donations, you can hold onto them before making important decisions on their usage, and by that point in time, their value can theoretically increase even further, which will provide you with more capital through which you can achieve your goal for that specific donation.
Second, cryptocurrencies represent one of the easiest ways through which someone can make a donation, as they are decentralized, which means that anyone from anywhere in the world will be able to essentially make a donation, as all they have to do is transfer cryptocurrencies from their crypto wallet to yours, which will be managed by the NOWPayments payment gateway afterward.
Third, throughout a crypto winter, people might feel a lot more inclined or motivated to make a donation in the form of a cryptocurrency rather than a FIAT currency due to the fact that at that point in time, they believe the market is at a low point, and as such might want to put their troubled cryptocurrencies to good use, making them feel better about the overall situation.
How can I accept crypto donations?
If you have come to the realization that accepting donations in the form of cryptocurrencies throughout the crypto winter, we are going to go over everything you need to know when it comes to accomplishing this goal through the utilization of the NOWPayments payment gateway, so follow each one of our steps in-depth in order to get the best results. Here is what you need to do:
- Visit the official NOWPayments website, after which you will need to create an account.
- You will now need to enter your public crypto address in order to access the API key, as this is where the cryptocurrency donations you receive will be transferred to. If you do not have one, make sure to create one at a compatible and trusted wallet provider.
- You can generate the API key easily once you do so.
- Under the “Settings” tab, you will need to pick your preferred way of receiving cryptocurrency donations, which can be completed through the selection of one of the many cryptocurrencies that are available on the NOWPayments platform.
Hopefully, now you know a bit more when it comes to what is a crypto winter and why it makes for one of the best points in time in order to begin accepting cryptocurrency donations.
NOWPayments will provide you with all of the required tools in order to accomplish this goal within the span of just a few minutes, which means that you can put your focus elsewhere while the payments gateway does the rest.