With an increasing number of people looking to venture into the crypto world, the trading landscape is changing. Traditional crypto exchanges are facing a hit, as they struggle with a handful of notable drawbacks. The first being that they can be a scary place to trade, designed by developers and traders for developers and traders. This puts off the average person who is new to crypto. The second being the extortionate fees these exchanges charge. Some start at 1% and there are some as high as 5%. When you consider the cost of buying a single Bitcoin with these fees on top, it can put off a lot of new investors. In a bid to make access to the crypto world easier, safer, and more enjoyable, a group of developers banded together and created Change.
What Exactly is Change?
Change is a mobile application that gives the user the ability to buy, hold, exchange, and spend a wide range of cryptocurrencies. One major difference between Change and other exchanges is its sleek user interface. It currently supports the trading of Bitcoin, Ether, Ripple, Litecoin, and Tether. Users simply top up their account using a credit or debit card, then can convert into crypto, it’s really that simple. It also boasts no fees on anything, this means no trade fees, no holding fees, and no withdrawal fees. This is quite the selling point for Change, as the majority of other crypto trading apps charge a slight fee at minimum.
Providing a Form of Banking to the Masses
Worryingly, a large percentage of the population don’t have access to a bank, and that means they rely on cash. Cash is slowly becoming more impractical, especially in countries like Venezuela that are ravaged by hyperinflation. Due to the fact Change is a mobile app, users don’t need to travel to their nearest bank and fill out arduous paperwork to get an account. Instead they can simply download the app, and in 5 minutes have a fully functioning bank account. However, unless the individual has access to a bank card – or a friend with a bank card – the app is totally useless.
No Different from Other Banks
The only difference between Change and a regular bank is the ability to trade crypto commission free. While this might be a huge draw for certain people, the impracticalities are still similar to that of a bank. For example, if MasterCard sufferers another system failure, users won’t be able to make any purchases with the card attached to the Change account. This presents a huge problem, and is more worrying as it infers the application is indeed centralized, everything the crypto industry stands against. Vitalik Buterin slammed centralized exchanges earlier this month. Buterin, the man that created Ethereum, said that he hopes that centralized exchanges “burn in hell as much as possible” – so watch out Change.
Stepping Up for Change
While apps of this nature are good for the crypto world and are great places for new crypto investors to test the waters in a fee-free environment, they will soon become defunct. Not because they are bad applications, but because people would rather pay a commission to be able to do what they want with tier crypto, not be tied down to one platform. If you are a beginner in the crypto world, this app is a brilliant way to get your foot in the door of the crypto world. However, for more seasoned and experienced investors, it could well be a waste of time.
Do these types of apps have a place in the future? This depends on how widely accepted cryptos become in the world. For now, we can only wait and see.