Bittrex bags the deal to let its users trade Bitcoin & other altcoins for USD
Cryptocurrency is growing in length and breadth, day and night. Furthermore, investing in cryptocurrency is one of the best investment you can do right now. That being said, one of the leading crypto-exchange platform, Bittrex, has made it possible for investors to exchange cryptocurrency with USD. Previously, purchasing a cryptocurrency was only possible by exchanging dollars with bitcoin and then the desired cryptocurrency. Now, you can directly purchase/exchange any cryptocurrency using US dollars.
"In this phase, we're stress-testing our system," he said. "We're working with the banks very closely to ensure that they can process the FIAT deposits and withdrawals. Also, the engine itself that we use to trade, is going to be able to properly handle the load." Bittrex CEO Bill Shihara said while working with Signature Bank.
Before this, only Coinbase allowed its users to trade cryptocurrency in exchange for USD. Now, Bittrex is also doing the same. This was much-awaited exchange feature for Bittrex users for a long long time. This has come down live after a formal agreement with Signature Bank in New York. This move is to make more traction through the platform in USD.
While adding support for USD deposit would create more convenience for traders & investors in using Bittrex. The main thought process in bringing about this change was the average user with little to no knowledge of using the platform. The previous process of purchasing a cryptocurrency was a lot more complex as exchanging dollars for bitcoin was in the loop.
“It’s been a long path, It’s not just about banks being able to trust Bittrex. It’s about banks being able to trust crypto in general. And I think it’s really showing that crypto is turning the corner in terms of mainstream acceptance.” Bittrex CEO Bill Shihara said.
Finding a fitting banking partner for this pairing was not an easy nut to crack. Signature Bank came out to be a reliable and befitting platform for this purpose. While many institutions across the world do not trust cryptocurrency, Signature Bank became a great helping hand for Bittrex to help its user well.
“They really do look and pore through the entire business…They want to make sure that we’ve got robust AML/KYC processes, that we’ve got the right controls on our finances. They do background checks and everything. They really look at our business soup to nuts” -Bill Shihara said on the partnership with Signature Bank.
On the other hand, Coinbase started out with a partnership with smaller banks for supporting purchasing cryptocurrencies with USD. But then, the company made news when it made an agreement with Barclays.
Bittrex has over 3 million active users across the world, that allows users to trade up to 200 different digital coins. These users will have an ease trading digital coins for USD.
Cryptocurrency is still in the gray zone in many countries, including the US. This has led many financial institutions, investors to be resilient about investing in altcoins. However, there are many investors who already are taking the 'risk' of investing in altcoins.