5 Responses

  1. jpelker
    jpelker May 13, 2015 at 18:51 | | Reply

    15% for credit card fees? In what world?

    Booooooooo.

    1. bradcoin
      bradcoin May 15, 2015 at 06:28 | | Reply

      Hey Jpelker – Brad Ross, CEO of CoinTent here!

      I just wanted to clarify the payment processing fees and how they fit in with micropayments. As you may know, fees for credit card processing often are around 3% plus $0.30 fixed per transaction.

      While the 3% can be a relatively small amount, the real impact of the $0.30 really depends on the size of the transaction. If you are selling something for $0.50, that $0.30 ends up being a 60% fee! If you sell something for $0.25… you are losing money, an over 100% fee. Because of this, it has largely not been feasible to sell anything for prices much below $1.00 (which would be a 33% cost for standard cc processing fees).

      CoinTent allows you to sell content for micropayments below $2.00 by bundling the purchase of content – we pay the credit card fees on a $2.00 deposit. At $2.00, the $0.30+3% = $0.36. That’s an 18% fee, which is where our fees are coming from.

      We are excited to enable websites to sell content in this way – for small, micropayments. We have seen with our partners so far that selling content at low prices, even at relatively higher fees, opens up new customers and a new source of revenue that you would otherwise not have access to.

      Feel free to let me know if you have any questions or if I can clarify any of the above. Thanks!

  2. mariacyryl
    mariacyryl June 2, 2015 at 07:49 | | Reply

    Thanks Mark for this information. However, I’m wondering if it is one time fee?

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