New York City Pre-School Bans Credit Cards and Embraces Bitcoin for Fees
Crypto payments have come a long way since the early days of bitcoin, with the most famous bitcoin payment deal being the now celebrated “Bitcoin Pizza Day” in May. At the time, a cryptocurrency developer ordered two pizzas and paid for them using 10,000 bitcoins.
Over the years, crypto has been in use countless times as a payment method- from food, online shops, gaming, transport, and even in international trade between countries. While some continue to berate bitcoin by calling it a scam, crypto adoption keeps growing as a payment method.
Real-world use cases for crypto are countless—all relevant in today’s world and in line with Satoshi’s vision of creating financial freedom. Listen to this story of a New York City preschool that banned credit cards and embraced bitcoin for fees payment.
The Montessori Schools in Flatiron and Soho began accepting Bitcoin and Ethereum for fees in May 2018.
According to the school’s chairman and co-founder Marco Ciocca, the decision to accept crypto first surfaced as a response to parents’ frequent queries about whether the school could accept bitcoin.
Ciocca, however, noted at the time that the school had been monitoring the crypto space for a while and were convinced of its ease of use, low fees (1% or lower compared to up to 4% for credit cards), and fast transactions.
The school uses a third-party payment processor to instantly convert the crypto into fiat (U.S. dollars) so that the school does not have to worry about price volatility.
The Flatiron and Soho preschool doesn’t also hold any bitcoin, which means all crypto payments are converted into fiat and sent to the school’s bank account. According to the school’s administration, the whole process is “as if someone wrote [them] a check,” or via cash or wire transfer.
Ciocca added in an interview that apart from crypto being less costly in terms of transaction fee, it is way convenient compared to credit cards that can be subject to chargebacks or get declined—a source of frustration for many schools.
The crypto payments idea is slowly getting rooted at the school, with the number of parents paying in Bitcoin and Ethereum growing by the month.
Already, a “handful of parents” have used cryptocurrencies to settle tuition fees for their kids, with a few actually being people who work in the blockchain industry.
And Ciocca’s message to those yet to embrace the payment method was pretty straightforward: there is nothing complex about it.
He adds: “It’s like paying with bank wire or cash,” with Bitcoin or ether just another form of payment worth considering.