Subscription Billing With Crypto

Recurring revenue is valuable for any business. With cards, subscriptions renew automatically: the customer enters card details once and gets charged each month. Standard crypto payments work differently. Customers push each payment from their wallet, and merchants cannot pull funds without permission. Offering subscriptions paid in crypto therefore requires a different approach.

Why automatic billing is harder in crypto

Card networks let merchants charge stored cards. In crypto, a plain transfer must be initiated by the customer each time. Options that allow merchants to collect recurring payments exist, but they involve approvals, smart contracts or smart accounts, each with trade-offs.

The right approach depends on your customers, price point and technical resources.

Option 1: Manual renewals

The customer pays each billing period, prompted by a reminder.

• Pros: Simple, no approvals, works with any wallet
• Cons: Renewals depend on customers remembering, which leads to churn

Improve manual renewals with clear reminders before the due date, a grace period after expiry and a one-click payment page showing the exact amount.

Option 2: Prepaid plans

Customers pay for several months or a year upfront, often with a discount.

• Pros: Fewer payments, better cash flow, lower churn
• Cons: Higher upfront cost for customers, refunds need a policy

Annual plans are often the most practical crypto subscription model for small businesses.

Option 3: Credit balances

Customers top up a balance, and usage or monthly fees are deducted.

• Pros: Flexible for usage-based products, fewer payment interactions
• Cons: Requires internal balance tracking, accounting for unused credit

Credit balances work well for APIs, tools and services with variable usage.

Option 4: On-chain subscriptions

Smart contracts or smart accounts allow customers to authorise recurring payments within limits.

• Pros: Automatic renewals similar to cards
• Cons: Requires token approvals or smart account features, more complexity, users may distrust spending permissions

If you use this option, request limited approvals, explain clearly how much can be charged and when, and make cancellation easy.

Comparing the options

Model	Automation	Complexity	Customer trust	Best for
Manual renewal	Low	Low	High	Small audiences, simple services
Prepaid plans	Medium	Low	High	Annual subscriptions
Credit balance	Medium	Medium	High	Usage-based products
On-chain subscriptions	High	High	Mixed	Crypto-native products with larger user bases

Renewal experience

Whichever model you choose, renewal experience decides retention:

1. Send reminders several days before expiry through channels the customer chose
2. Show the renewal amount, token and network clearly
3. Offer a grace period so access does not end abruptly
4. Let customers upgrade to longer plans easily
5. Confirm renewals with receipts and transaction links

Pricing and discounts

Discounts for longer plans encourage prepayment. Keep pricing in dollars and accept stablecoins at face value for predictability. If you accept volatile tokens, quote the amount at payment time and lock it for a short window.

Accounting and refunds

Prepaid subscriptions may need to be recognised as revenue over time rather than all at once, depending on accounting rules. Define refund policies for unused periods and explain them before payment.

A fixed-term alternative

Some products avoid subscriptions entirely by selling fixed-term access. Proud Globe pins run for twelve months from payment with a single stablecoin transfer, and owners get the first chance to renew before the term ends. You can see the flow on the claim page.