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Which Payment Methods Are Used Most in Affiliate Marketing – Is Crypto the Holy Grail? Which Payment Methods Are Used Most in Affiliate Marketing – Is Crypto the Holy Grail?

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Which Payment Methods Are Used Most in Affiliate Marketing – Is Crypto the Holy Grail?

Affiliate marketing connects brands with a vast, global network of creators, influencers, and publishers. In fact, affiliate marketing spending in the U.S. alone reached $9.56 billion in 2023, and it’s expected to grow to $12 billion by 2025, according to Statista. But behind every successful campaign lies a logistical challenge: how to pay affiliates efficiently, securely, and at scale. With affiliates spanning the globe, traditional payment methods often fall short, creating unnecessary friction.

Enter cryptocurrency. Once reserved for tech enthusiasts, crypto is now becoming a mainstream tool for payments—especially in industries like affiliate marketing. But does it live up to the hype? Let’s break it down.

The Essentials of Affiliate Payouts: What Affiliates Expect

Affiliates care about three key things when it comes to payments:

  • Speed: Faster payouts mean happier affiliates and stronger partnerships.
  • Low Fees: Affiliates deserve more of their earnings, not to lose them in transaction fees.
  • Accessibility: Affiliates in different regions need payment methods that work for them, whether they’re in major markets or remote areas.

These expectations are universal. But delivering on them often depends on the payment method chosen. This is particularly critical as affiliate marketing grows. Globally, 81% of advertisers and 84% of publishers leverage affiliate marketing (Demand Sage), making seamless payments more important than ever.

Comparing Payment Methods in Affiliate Marketing

1. Bank Transfers

  • The Good: Reliable for large sums, familiar to most.
  • The Bad: Expensive fees (5-10%) and delays of 3-7 business days for international transactions (World Bank).

2. E-Wallets (PayPal, Skrill)

  • The Good: Instant payments, widely adopted.
  • The Bad: High transaction fees (up to 7%), withdrawal fees, and limited functionality in some countries.

3. Prepaid Cards

  • The Good: Quick and user-friendly for affiliates.
  • The Bad: Expensive to set up and operate, often with significant restrictions.

4. Cryptocurrency

  • The Good:
    • Low Costs: Fees as low as $0.01 on networks like TRON (used by USDT TRC20) (TRON Foundation).
    • Speed: Near-instant payments globally compared to 2-5 business days for traditional transfers (CryptoSlate).
    • Accessibility: Ideal for affiliates in regions with limited banking infrastructure or complicated tax regimes.
    • The Bad: Requires affiliates to manage crypto wallets, and adoption is still growing in some markets.
Crypto in Affiliate Marketing

Why Crypto Is Gaining Ground in Affiliate Marketing

As affiliate programs expand globally, crypto offers unique advantages that traditional payment methods can’t match. Here’s why:

1. Instant Cross-Border Payments

Traditional methods often get bogged down by currency conversions and intermediaries. Crypto eliminates these hurdles, enabling instant payouts anywhere in the world.

2. Stablecoins Make Crypto Predictable

Volatility has long been a barrier to crypto adoption. But stablecoins like USDT, tied to the value of the US dollar, remove this uncertainty. Affiliates get paid a stable amount, no matter market fluctuations. Today, stablecoins like USDT account for nearly 80% of crypto transactions globally, underscoring their dominance in payments (CryptoCompare).

3. Low Transaction Fees

For affiliates earning smaller amounts or those in countries with high bank fees, crypto payments provide a much-needed alternative. With platforms supporting stablecoins on efficient networks like TRON, fees remain minimal (TRON Foundation).

Common Myths About Crypto Payments in Affiliate Marketing

Despite the growing adoption of cryptocurrencies in affiliate marketing, several myths still hold marketers back. Let’s bust some of the most common myths:

Myth 1: Crypto Is Too Volatile for Payments

  • The Myth: Many believe that cryptocurrencies are too volatile to be used for affiliate payouts, meaning that the value of the payment could drop significantly.
  • The Truth: This myth overlooks the existence of stablecoins like USDT, which are pegged to the US dollar and designed to maintain a stable value. Using stablecoins eliminates the volatility issue, ensuring affiliates receive a predictable amount.

Myth 2: Crypto Payments Are Complicated to Use

  • The Myth: Crypto wallets are confusing, and affiliates may struggle with setting them up or receiving payments.
  • The Truth: Modern crypto wallets are user-friendly and simple to set up, often requiring just a few minutes to get started. Many affiliate platforms provide detailed guides to help affiliates, ensuring that even those new to crypto can use it comfortably.

Myth 3: Crypto Adoption Is Limited

  • The Myth: Only a small number of affiliates accept crypto, making it impractical for widespread use.
  • The Truth: Crypto adoption is growing rapidly, especially in affiliate-heavy regions like Southeast Asia, Latin America, and Africa. Over 300 million people worldwide use or own cryptocurrency (TripleA), and more than 30% of affiliate marketing programs in tech-related niches now offer crypto as a payout option (Affiliate Insider).

Myth 4: Crypto Is Used for Illegal Activities

  • The Myth: Cryptocurrencies are often associated with illicit activities, making businesses wary of using them for legitimate payouts.
  • The Truth: While cryptocurrencies have been used for illegal transactions in the past, the vast majority of crypto transactions today are legitimate. Blockchain technology provides transparency, and regulators are increasingly integrating crypto into legal frameworks, making it safer for mainstream use.
Predictions for the Future

Predictions for the Future

As the affiliate marketing landscape evolves, payment solutions must adapt. Here’s what to watch for:

  • Increased Crypto Adoption: By 2030, cryptocurrencies are expected to be involved in more than 50% of global cross-border transactions (Deloitte).
  • Hybrid Payment Models: Marketers may offer a mix of traditional and crypto options to cater to all affiliate preferences.
  • Automation in Mass Payouts: AI-driven solutions will make payouts even more seamless, reducing errors and admin time.

Final Thoughts: Is Crypto the Holy Grail?

While no single method is perfect, crypto is rapidly proving its worth in affiliate marketing. It addresses key pain points—speed, cost, and accessibility—better than most traditional alternatives.

For marketers, embracing crypto isn’t just about convenience; it’s a competitive advantage. Affiliates are more likely to stick with programs that pay them quickly, securely, and in a way that works for their unique needs.

As the industry continues to evolve, crypto might not just be the holy grail—it could become the standard.

Ready to make crypto payouts to affiliates everywhere in the world? Use Affise Pay!

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Elijah Smetanin

Written by

Elijah is an experienced Product Manager with a deep passion for technology and innovative solutions. With a strong background in B2B SaaS and affiliate marketing, he excels at transforming complex ideas into actionable strategies that boost business growth. Elijah is driven by his love for state-of-the-art technology and enjoys discussing topics like AI, VR/AR, and sustainability.

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