US based cryptocurrency exchange Bittrex is now allowing its users to buy cryptocurrencies in exchange of the dollar directly. The Seattle based exchange will now see fiat to crypto buying options wherein users don’t have to buy bitcoins first. In an earlier arrangement, investors would have to buy bitcoins and then exchange them to get altcoins. The new functionality will help in making crypto trade easier in the US and may also bring about a change in the value of altcoins.
The exchange has created a new agreement under which USD to altcoins trade will be made possible. This is the first time that the exchange is facilitating such a step. Before them, only Coinbase, a California-based exchange allowed for currencies to be bought with USD. There are more than 1500 digital coins available for the users, but only a fraction of them are listed on the exchange. Most of them are liquid but highly volatile.
Founder and CEO Bill Shihara said that their goal is to “expand out to as many markets as possible on Bittrex. As well as expand it so that every customer on Bittrex will be able to have access to U.S. dollar trading.”
Bittrex is one of the most influential cryptocurrency exchanges in the market and this move by the company could help move the industry to a positive change. As most altcoins could only be bought by exchanging bitcoin, the prices of all currencies are directly related with that of bitcoin. Now, as this exchange is decoupling altcoins, it could be easy for these currencies to grow. This is not all, the price of these currencies will not be reflecting in Satoshis anymore.
Bittrex currently allows users to trade in over 200 top currencies. Currently, the company will be working with a “small, select number of launch partners” to make such payments a reality, per the CEO. He added, “In this phase, we’re stress-testing our system. We’re working with the banks very closely to ensure that they can process the FIAT deposits and withdrawals. Also, the engine itself that we use to trade, is going to be able to properly handle the load.”
Regulatory pressures are now tightening in this space. Though digital currencies aren’t under the purview of any government agency in the US, financial institutions and investors hope that such a move would certainly help the industry in growing larger. The CEO is one of the crypto bulls who believe that working hand in hand with the government will provide a more legitimate status to this industry. Currently, widespread ICO scams and other crypto related crimes make headlines daily because of which casual investors and new entrants to the industry are becoming more skeptical than ever.
“We think that solving the regulatory puzzle in the United States really unlocks a lot of capital that really can’t trade on a foreign exchange that doesn’t have proper [anti-money laundering] controls or proper compliance,” Shihara said, strongly affirming that such a move will only make the value go higher.