Today, the largest cryptocurrency exchange, Binance, announced that it has completed the acquisition of Swipe, the cryptocurrency wallet app and the licensed debit card provider Visa.
The deal will see the two companies working together to drive global adoption of cryptocurrencies by making it easier for end users to make payments or purchases on digital assets through traditional financial systems.
Binance acquires Swipe
Promoting the widespread adoption of cryptocurrencies has been one of Binance's primary goals. The Malta-based exchange has added fiduciary escapes for millions of clients worldwide. Additionally, sometime in March this year, the exchange announced plans to launch a Binance debit card that would allow users to shop with cryptocurrencies at more than 40 million Visa merchants worldwide.
However, the exchange's CEO, Changpeng Zhao, later acknowledged that the debit card project was quite exhausting and might not work at all. This is probably the reason why Swipe has been incorporated to help make the Binance Card a success. Commenting on this acquisition in an official statement released on June 7, Zhao stated:
"To accomplish our mission of making cryptocurrencies more accessible to the masses, exit ramps are also a key component. By giving users the ability to convert and spend cryptocurrencies directly, and merchants to continue to accept fiat money seamlessly, this will make the cryptocurrency experience that much better for everyone. Swipe's exceptional team has come a long way in advancing this mission and has been instrumental in the industry in closing the gap between trade and cryptocurrencies. ”
It should be noted that the exact amount of money paid for the acquisition has not been disclosed. However, the collaboration aims to help bridge the wide chasm that separates digital assets and fiat. Swipe currently supports multiple cryptocurrency purchases at more than 50 million locations worldwide. Swipe's main advantage is that users can keep their cryptocurrencies for a longer period of time, as they can convert them into fiat currencies (using Visa payment rails) once the transaction is already underway.
As an added benefit, customers receive up to 4% bitcoin cash back for every purchase made and also discounted rates for using the Swipe card.
Make cryptocurrencies accessible to millions of users worldwide
In particular, Swipe has officially included Binance Coin (BNB) on its platform, allowing customers to easily buy and sell BNB using their linked bank accounts, and in return, Binance has included Swipe's SXP token on its platform.
The announcement also notes that Swipe is currently available in 31 countries, most of them in the European Economic Area. Swipe debit cards are issued by Contis Financial, who happens to be a primary member of Visa. The company also supports fiduciary transactions in major fiat currencies, including the US dollar, the euro, the pound sterling, the Philippine pesos, and the Korean won, and plans to launch it soon in Asia and North America.
According to Swipe boss Joselito Lizarondo, in association with Binance, a company that has a "World-renowned history and user base" It will help the company fulfill its dream of making the masses access to cryptocurrencies. Lizarondo further stated that in the future, "They will work with Binance to continue innovating in this crypto banking space to continue moving toward mass adoption in our current and future product lines."