Stripe Launches Cash to Crypto Service
Stripe‘s fiat-to-crypto sets to bridge traditional banking and cryptocurrency fostering Web3 adoption.
Irish-American financial services and software, Stripe Inc., has launched a new tool that permits users to exchange fiat money for cryptocurrencies. The tool is exclusively available for United States citizens and can be deployed on decentralized exchanges, NFT platforms, and decentralized applications (dApps) with ten lines of code. It will allow users to buy crypto easily and engage in the ever-evolving Web3.
In a press release by Stripe, the company announces its partnership with around 16 partners including Nifty Gateway, Braintrust, Audius, Magic Eden, and Argent. The introduction of Stripe’s fiat-to-crypto will foster the adoption of cryptocurrency and increase utility in Web3. In recent times, Web3 adopters are challenged with the conversion of fiat to cryptocurrency. Alternatively, users have to buy cryptocurrency on CEX and transfer them to a non-custodial wallet.
Advantages of Stripe’s Fiat-to-Crypto
Stripe will process all know-your-customer protocols, payments, fraud, and compliance sideling all third-party services. The tool will be integrated with Stripe’s Link, which takes record of all payment information against future transactions.
According to Jennifer Lee, a product manager at Stripe the company is anxious about the future of cryptocurrency and Web3. She wrote:
“Today, it’s extremely difficult to get end users “on-chain”—that is, to fund their wallets with the crypto required to interface with Web3 applications. Developers have to wrestle with rampant fraud; navigate complex KYC requirements; and somehow still offer a seamless, high-conversion payments experience so that their users can actually use their Web3 applications. We built our fiat-to-crypto onramp to remove this complexity. The onramp is a customizable widget that developers can embed directly into their DEX, NFT platform, wallet, or dApp.”
Other conventional mainstream companies like Robinhood and Gucci are participants in Web3. While Robinhood allowed users to swap cryptocurrencies for no fees, Gucci announced the acceptance of Yuga Lab’s Apecoin in every shopping outlet across the United States.