One of the big debts in the development of cryptocurrencies has been the mass adoption. Well, after eleven years since the birth of Bitcoin, crypto assets have not managed to become currencies used on a large scale for the acquisition of goods and services. Therefore, the purchase of Swipe by Binance, and the foreseeable launch of a debit card from the exchange, is quite an achievement for the crypto world, as Changpeng Zhao comments in the Tweet of the day:
The effects of the purchase of Swipe
Since its inception, the main objective of Bitcoin, and in general of the entire crypto community, is to compete with traditional fiat money. Positioning cryptocurrencies as an alternative for conducting financial transactions around the world. As well as a savings mechanism and means of payment for goods and services.
However, to achieve this cryptocurrencies would have to reach high levels of adoption. Enough so that acceptance of Bitcoin as a means of payment becomes common in merchants around the world. Something that seems difficult to achieve, at a time when operations on the BTC Blockchain can take up to 30 minutes to execute.
This is where Swipe, a company that offers a cryptocurrency wallet, linked to a physical debit card backed by Visa, comes in. And, this company would have been recently acquired by Binance, being the latest in a series of acquisitions by the exchange to expand its already-nurtured ecosystem. In what Changpeng Zhao considers to be an achievement for the crypto world:
“The meaning of a card escapes many people. It allows people who want to stay in crypto to stay in crypto, and merchants who need to accept ‘fiat’ to do so. Uniting two parallel worlds. Cryptocurrency is no longer sold, the fiat is withdrawn and the card is paid for. Life with #BNB becomes simpler“
Thus, the Swipe platform would become part of the Binance platform. Allowing crypto users to pay for their purchases using cryptocurrencies. Merchants receiving fiat money directly into their bank accounts. In a move that Zhao hopes will increase the adoption of crypto assets.