The Seattle based crypto exchange platform will become the latest to grant traders access to trade digital tokens for fiat, following a new alliance with the US Signature Bank and other yet to be confirmed banks.
For a start, a fraction of over 3 million users on the Bittrex platform, mainly corporate traders living in Montana, New York, California, and Washington can use this service even though plans are in place to improve mileage.
Bittrex CEO, Bill Shahara, while announcing the new partnership with Signature Bank which makes fiat trading possible noted that “crypto is turning the corner in terms of mainstream acceptance.”
The goal of cryptocurrencies has been to create a decentralized asset exchange system, but it is gradually becoming clear that a close relationship with other banking systems would be needed to fully achieve that dream.
Dollar For Crypto, Crypto For Dollar
After its official launch on Thursday, users in the approved regions can exchange three crypto tokens, namely Bitcoin, Tether, and TrueUSD for fiat currency. Over time, more of the over 200 tokens available for trading on Bittrex will be added to the fiat trading list.
Following in the footsteps of Coinbase, another crypto exchange that support fiat trading with three US Banks, Bittrex will hope the new development increases trading volumes on their platform and public trust in cryptocurrencies.
There is however, some lofty requirements for getting bank support for cryptocurrency exchanges but Shahara confirmed that they can be met by willing platforms.
“They (banks) really do look and pour through the entire business. They want to make sure we’ve got robust AML/KYC processes and that we’ve got the right controls on our finances. They do background checks and everything. They really look at our business soup to nuts”.
It is largely expected that other crypto exchanges around the globe follow this path as it guarantees customer convenience while also forming the basis for potentially merging cryptocurrencies with the traditional banking system.
Further, as more banks continue to show interest in the crypto ecosystem, there is a high chance to witness new fiat trading alliances In future.
Who would be next?