Purchasing crypto assets on Binance just got easier as the exchange has made it possible for users to buy crypto assets using their credit cards. According to a press release, this is a result of Binance’s partnership with Simplex, a technology that provides secure buying of cryptocurrencies using credit and debit cards. Simplex is a licensed financial institution that provides and online, fraud-free payment processing solution.
Binance claims that by accepting credit card payments for crypto they are supporting broader use and increasing accessibility of cryptocurrencies worldwide. However, credit card usage in crypto is controversial. Last year, Coinbase stopped allowing credit card purchases because when it did permit them, customers were found to have incurred additional charges.
Binance CEO CZ On Simplex Partnership
“We want to provide Binance traders with fast and easy access to crypto, in the most secure way possible,” said Changpeng Zhao, CEO of Binance. “Partnering with Simplex allows us to instantly bridge the gap between credit card payments and crypto for traders globally. On Binance.com, you can now buy crypto with credit cards and start trading in minutes.”
Nimrod Lehavi, Co-Founder and CEO of Simplex, said: “Easy and fast credit card payments, for mainstream users, is a key factor in wider adoption of crypto in general. We’re thrilled to partner up with Binance and together enable a much better, fast and easy experience”.
Binance reiterated that the use of the credit cards for payment through Simplex is subject to the policies of the local bank. Not all banks support the use of credit cards for cryptocurrency and some users will be unable to use their card to buy on Binance. Those that are able to, will be charged a 3.5 percent fee and must wait ten to thirty minutes for their tokens. There is also a caveat in that credit cards can only be used to purchase a limited set of tokens – Bitcoin, Ethereum, Litecoin, and Ripple’s XRP.
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