When businesses start accepting crypto payments, security is often one of the first concerns. This is completely understandable. Crypto works differently from traditional payments, and many people want to know how their funds and transactions are protected.
NOWPayments approaches security in a practical and transparent way. Below, we’ll explain the key security measures used by NOWPayments in simple terms, without technical language or exaggeration.
Why Security Matters in Crypto Payments
Crypto payments move directly on blockchain networks. Once a payment is made, it cannot be reversed like a card chargeback. Because of this, businesses need clear rules, good controls, and reliable tools to manage payments safely.
NOWPayments focuses on giving merchants control and visibility rather than hiding how payments work.
Two-Factor Authentication (2FA)
NOWPayments also allows users to enable two-factor authentication (2FA) for their account. This adds an extra layer of protection when logging in.
In addition to an email and password, the user must enter a one-time code generated on their device. This helps protect the account even if login details are compromised and reduces the risk of unauthorized access.
Custodial and Non-Custodial Options
One important security aspect at NOWPayments is that it supports both custodial and non-custodial setups.
In a non-custodial setup, payments go directly to the merchant’s own wallet. This means:
· The business keeps control over its funds
· NOWPayments does not hold the money
· Funds are received straight from the customer
For businesses that prefer simplicity, custodial options are also available. In this case, funds are temporarily handled within the system to make payment processing easier.
This flexibility allows businesses to choose the level of control that fits their needs.
Control Over Funds and Payment Flow
NOWPayments is built so merchants can clearly see where payments are coming from and where they go next.
Each transaction:
· Has a unique address
· Can be tracked on the blockchain
· Can be checked independently by the merchant
This reduces confusion and helps businesses quickly confirm whether a payment was completed.
API Security and Access Control
For businesses that use the NOWPayments API, access is controlled through API keys.
In simple terms:
· API keys act like digital passwords
· Only systems with the correct key can interact with the account
Merchants can manage these keys and limit how they are used. This helps prevent unauthorized access to payment functions.
IP Whitelisting Explained Simply
NOWPayments also supports IP whitelisting.
This means:
· A business can choose which server addresses are allowed to connect to its account
· Requests from unknown locations are blocked
It adds an extra layer of protection, especially for businesses that rely on automated payment systems.
Payment Confirmations on the Blockchain
Crypto payments are confirmed by the blockchain network itself.
NOWPayments uses these confirmations to:
· Verify that a payment was actually sent
· Reduce the risk of fake or incomplete transactions
Because blockchains are public, merchants can always verify transactions independently.
Transparency of Blockchain Payments
One natural security advantage of crypto payments is transparency.
With NOWPayments:
· Transactions can be viewed on public blockchains
· Payment status is clear and traceable
· There is no hidden processing behind closed systems
This openness helps businesses trust the payment process and resolve issues faster if questions arise.
What These Measures Help Protect Against
Together, these security practices help protect businesses from:
· Receiving unconfirmed payments
· Unauthorized system access
· Confusion around transaction status
· Loss of control over funds
Rather than relying on promises, NOWPayments focuses on clear rules and visible processes.
Final Thoughts
Security in crypto payments does not have to be complicated. NOWPayments takes a straightforward approach by combining user control, transparent transactions, and practical access protections.
By letting businesses choose how they manage funds and by relying on verifiable blockchain data, NOWPayments helps merchants feel more confident when accepting crypto payments – even if they are just getting started.
