What is Letters Of Credit?
Letters Of Credit explained for crypto payment merchants using Zateway.
Letters Of Credit is a key concept in crypto payments. With Zateway, merchants use non-custodial USDT and USDC checkout across Polygon, Solana, Base, BSC, Arbitrum, Optimism so Letters Of Credit connects directly to faster settlement, lower fees, and zero chargebacks.
Why Letters Of Credit Matters for Merchants
Understanding Letters Of Credit helps you design safer checkout. Zateway keeps funds non-custodial — payments route to your wallet while you still get webhooks, payment links, and API control.
How Zateway Handles Letters Of Credit
Zateway supports production and sandbox flows so you can test Letters Of Credit safely. Use payment sessions, HMAC webhooks, and multi-chain USDT/USDC to operationalize this concept without holding customer funds.
Best Practices
Prefer stablecoins over volatile assets, verify webhook signatures, wait for sufficient confirmations, and keep private keys offline. Pair Letters Of Credit knowledge with Zateway's 1% flat fee model for predictable unit economics.