When issuing an invoice, you need to be aware of all local and national requirements for your invoice to be compliant. This varies, but a general rule of thumb is to include your name, business name, legal address and tax number. For more specific guidance see the following resources:
In order to receive cryptocurrency, you need a wallet address. These wallet addresses are unique addresses (consisting of letters and numbers) that allow you to manage your funds. You control your wallet through an application, just like the online banking app you use now. To accept ETH, DAI, USDT and other ERC20 tokens, you will need an Ethereum address. For beginners, we recommend using Coinbase. To accept BTC, you will need a Bitcoin wallet address. We also recommend using Coinbase.
Once more familiar with handling cryptocurrencies, we recommend moving your funds off exchanges and keep them on a wallet that you own the private keys to. Here is a helpful guide on how to do this.
In order to pay an invoice, you need to use a wallet that has Web3 capability with enough funds to cover the payment amount requested.
Web3 is the new generation of technology that empowers the individual over the institution through decentralization. When managing your finances, you can think of your Web3 wallet as your online banking app -- but without the bank. Not sure which wallet to use? Here is a helpful guide.
All currencies which are currently supported by Request Invoicing can be found here.
Digital currency, or cryptocurrency, is often referred to as programmable money. Like the Internet in the 90s was for communication to become digital. Cryptocurrencies and their applications represent the internet of money. There are currently over 7000 cryptocurrencies listed on the popular tracker CoinMarketCap.
We're seeing an increase in clients that prefer to pay in cryptocurrency over traditional currencies. This is because of the high-speed payments get processed on cryptocurrency payment networks, as well as the relatively small fees associated with larger value transfers.
Especially when dealing with international transactions, accepting cryptocurrencies can have a big positive effect on your companies' bottom line.
By creating an invoice with Request invoicing your customers will receive an automatic email with a link to the invoice. All they have to do is click on accept and pay from within the invoice.
The same bookkeeping implications apply to regular invoices charged in traditional currencies like USD or EUR. Capital gains (if any) must be added as revenues. and receive in FIAT.
For an invoice denominated in fiat currency for which you receive cryptocurrency payments, the accountant acts similar as with an international payment - taking into account exchange rate gains and losses.
In addition, there may be some capital gains or losses associated with receiving digital assets. This is mitigated by using stable tokens such as DAI or USDT for your business
For invoices denominated in a fiat currency which payment is received in the same currency at the end of the process, the bookkeeping of the transaction is the same as usual.
The accountant does not need to be informed about using blockchain technology, as the amount received in the bank account matches the amount of the invoice.
Invoices paid in cryptocurrencies are different. Go to your Request Invoicing dashboard, export your invoices as a CSV or download them individually as PDFs and send them to your accountant. Your accountant will then have all of the information needed to finalize your accounting.
Your accountant will manage these invoices in a similar way as a payment in a foreign currency, including exchange rate gains and losses, and additionally might also have to book capital gains.
Request Foundation is a foundation based in Zug which aims to develop and promote Request technology.
Request technology is a decentralized payment request technology. It allows cryptocurrency requests. The tech is powered by Ethereum blockchain. Request technology remains independent thanks to the REQ token.
Request invoicing is the first application of Request technology. It allows businesses to do compliant transactions in cryptocurrencies utilizing invoicing objects.
We've written an in-depth Getting Started Guide for you here, including video tutorials for each step in the process.
The only mandatory fields to get started are your first & last name.
As each jurisdiction needs specific details to be available on the invoice you issue, please double-check with local guidelines to ensure your invoices are compliant to local regulation.
This usually involves the company name, address and tax number.
Follow the creating an invoice section of our Getting Started Guide, where we dive into the process step-by-step.
Request Invoicing is built for all individuals and businesses who are looking to pay & get paid in cryptocurrencies. Some of our biggest clients involve organizations like MakerDAO, who are willing to pay their suppliers and grantees in cryptocurrency.
Issuing invoices will always be free. At the time of payment, the payer will pay the Ethereum gas fees (used to send the funds) and the Request Invoicing service fee.
The Ethereum gas fee is variable depending on how busy the network is at the time of payment. It is not collected by Request.
The Request Invoicing service fee is 0.1% of the total amount requested in the invoice, with a maximum fee of $2 per invoice.
Example: An invoice issued through Request Invoicing of $3,000 will be charged 0.1% of the invoice amount, which if there was no maximum cap is $3.00. Because of the maximum cap, the service fee that is charged is $2.00.
Customizing your invoice by adding your company logo is a feature we're currently working on and is currently unavailable.
.csv and .pdf exports are available to export through the Request Invoicing dashboard.
Setting up recurring invoices is currently being worked on by our product team and will be released in a near update.
Partially paying a digital currency invoice is currently unavailable and will be released as a feature in a near update.
Upon receipt of the invoice, you can accept the invoice to let the issuer know if you agree with the terms & conditions.
This is done by logging into your account & clicking on the accept button above the invoice.
Upon receipt of the invoice, you can reject the invoice to let the issuer know if you disagree with the terms & conditions.
This is done by logging into your account & clicking on the reject button above the invoice.
Payment terms on an invoice allow the client to know when he should pay. This should be agreed and included in the commercial contract.
A reputation feature is coming soon. Paying on time will be valuable to increase the client’s reputation
We envision to apply automated late fees for late payers. This feature has yet to be prioritized based on user feedback. Let us know if this is something that's useful for you by sending an email here.
The escrow feature is coming soon. We are building a decentralized escrow feature, replacing the third party by a smart contract to remove the need for trust between businesses.
Payments can be programmed to be made at a certain time or based on milestones that the client will validate.