A custodial payment gateway is a type of crypto payment gateway where the gateway provider holds and manages the funds on behalf of the user during the transaction process. This setup is the same as traditional banking services where the institution oversees your funds, offering added security and convenience. In the context of cryptocurrency payments, a custodial gateway might store, transfer, or convert crypto on behalf of the business or individual, ensuring transactions are secure and compliant with regulatory standards.
For businesses using BoomFi, a custodial payment gateway might simplify the process of accepting crypto payments by managing the complexity of wallet management and security, providing a straightforward way to accept digital currencies without needing in-depth blockchain knowledge.
