With Binance’s new announcement to move its office to the crypto favourable territory, Malta and working on the deal with local banks to launch its fiat to crypto trading pairs, the exchange is all set to take over the Coinbase and dominate the cryptocurrency market.
Ruling the crypto market: Binance Malta move & fiat to crypto trading
One of the largest cryptocurrency exchanges in the world, Binance is riding high in the cryptocurrency market. With over 5 million users, this Chinese cryptocurrency exchange is popular for its crypto to crypto trading services.
Over the past few months, Binance has made a lot of advancements that have led to its increased user base, business, and credibility in the market.
Recently, Binance announced its plan to open a new office in the Mediterranean nation, Malta. Referring to the island as a progressive territory for cryptocurrency and fintech, Binance co-founder Zhao Changpen is looking for a fresh and high driven start in the crypto favorable Malta after getting a warning from Japanese financial authorities.
A small European country, Malta is very much onboard with Binance’s entry in the country as evident from the welcoming tweet of its Prime Minister, Joseph Muscat. Malta can help Binance in setting up fiat to crypto trading pairs that would allow people to buy crypto directly with USD or any other currency, unlike the current scenario where only purchase through cryptocurrency is possible. This would put Binance in neck-to-neck competition with the biggest crypto exchange Coinbase which provides the same trading service.
Additionally, Binance is already working on securing deals with the local banks of the region to facilitate the fiat to crypto service as it would allow the exchange to deposit as well as withdraw in fiat currencies.
Binance in position: To take down Coinbase
Due to the complicated process, people have always found it difficult to buy cryptocurrencies. Now, with such a big move, Binance is simplifying the process and increasing its liquidity that would further grow its customer base significantly.
When it comes to the user stats, Coinbase is way ahead Binance with its more than 10 million users. However, it isn’t hard to achieve as in January, Binance added about a quarter million new users in a day.
The major selling point of Coinbase is fiat to crypto trading and with Binance’s Malta move, it is all ready to get its hand on the wide fiat to crypto market.
On one hand, over the last few weeks, Coinbase launched its index fund, Commerce platform, removed its multisig vaults support and went through a lot of hiccups as well. On the other hand, Binance launched its blockchain for decentralized exchange that is Binance chain while its Binance Coin is leading the altcoin rally.
With the countries around the globe coming to terms with the cryptocurrency and its potential, regulatory authorities are working towards crypto growth instead of its crackdown. As the regulations smooth out and get laid down, the next logical step for Binance would be to go the Commerce route and take Coinbase several notches down further.
What are your views on Binance’s fiat to crypto trading pairs plan? Do you think in the near future, Binance will be able to take a huge leap over Coinbase? Share your thoughts with us!
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I am an entrepreneur and a writer with a bachelors degree in Computer Science. I manage the blockchain technology and crypto coverages at Coingape. follow me on Twitter at @arya_achal or reach out to me at achal[at]coingape.com.