Thinking about the Bitcoin industry and attracting new users, there are three aspects to the experience. Buying bitcoin, using Bitcoin, converting Bitcoin to local currency. For most people that are likely to use Bitcoin itself, these are the three main activities that need to work for them. Advances have been made, but Bitcoin is still struggling with providing a complete user friendly experience for that first point of contact with the industry, buying Bitcoin. However, a new payment structure offered by a partnership with Blockchain and payment startup Coinify hopes to change this by allowing direct funding of a Blockchain wallet using a credit or debit card.
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One of the major obstacles facing new Bitcoin users is actually buying them, and this has been the case since the cryptocurrency launched back in 2009. That is not to say things have stayed as difficult as they used to be, there have been significant improvements.
Sites like Coinbase have made buying Bitcoin over the internet easier for those with banking facilities, and even through credit cards. Likewise, the various peer to peer initiatives have enabled Bitcoin for fiat cash purchases too, but these are still isolated opportunities when looking at the world market. Great and welcome, but the industry always needs more, more ways to purchase Bitcoins, easier ways to purchase Bitcoins.
The good news is that the industry is not ignoring this need, and major wallet provider Blockchain has just announced a partnership with Coinify, a Danish payment startup company, which is just entering beta testing. This new initiative will eventually put an in-wallet buying feature into all Blockchain wallets, allowing near instant funding directly into a Bitcoin wallet. The system is aimed at offering a low fee solution that avoids the identity verification requirements and third parties that are at the core of the current exchange based entry into Bitcoin ownership.
Powered by Coinify’s payment platform, users will be able to purchase Bitcoin via credit or debit cards, with the funds being almost instantly deposited into the wallet. The initial rollout will take place in the UK, with expansion across Europe as the beta-phase matures, and ultimately a global launch in the future.
This new payment structure provides users with a more intuitive, faster solution while reducing the fees involved, and the reliance on third parties to hold currency and Bitcoin funds. The easier it becomes to actually but Bitcoins and use them, the more people will become users, and this initiative seems set to offer the most convenient route to Bitcoin ownership yet for anyone. As the digital currency industry matures, these advances may seem to be a little subtler, but the effect could be just as impressive as the first exchanges in terms of impact in the long term.