> When a business accepts bitcoins for payment, there generally is the need to convert them to the currencies used for paying suppliers, employees and shareholders. Some merchants set prices based on the current market rate at the time the price quote is presented to the customer
Bitcoin Prices lists the exchange rate for many currencies on multiple exchanges.
When prices are determined using an automated process, the current market rate can be based on either a current price or on a weighted average basis.
When bitcoin funds for purchases are received, some merchants instantly exchange those proceeds into the preferred currency used. Hedging for each transaction can nearly entirely eliminate exchange rate risk that the business is exposed to when accepting bitcoins for payment. [1]
So it sounds like merchants accept Bitcoin and immediately convert to preferred currency based on the going BTC rate at the time of transaction.
So it sounds like merchants accept Bitcoin and immediately convert to preferred currency based on the going BTC rate at the time of transaction.
[1] https://en.bitcoin.it/wiki/How_to_accept_Bitcoin,_for_small_...