- Uniswap yesterday announced that it will allow fiat purchases of crypto on the platform
- The exchange follows Metamask in allowing current and future users to buy crypto with cash
- Credit cards, debit cards and bank transfers will be accepted, depending on a user’s location
Decentralized exchange Uniswap has partnered with fintech company Moonpay to allow users to purchase cryptocurrency using debit cards, credit cards, and bank transfers on its web app. Uniswap users will now be able to exchange fiat for cryptocurrency on the Ethereum mainnet, Polygon, Optimism, and Artibrum. Uniswap said that the move would offer current and future users a “safe and secure way to buy crypto— without having to depend on centralized intermediaries.”
Six Cryptocurrencies Supported
Uniswap announced the development yesterday, posting a tweet thread that explained the premise and the key details of the move:
1/ Go direct to DeFi 🚄
Starting today, you can now purchase crypto on the Uniswap Web App using a credit/debit card or bank transfer at the best rates in web3 thanks to our partnership with @moonpay! 💸https://t.co/YVyk8e6d2h
— Uniswap Labs 🦄 (@Uniswap) December 20, 2022
Uniswap explained that credit and debit card payments are open to all card holders, while the bank transfer option will be available only to users in the United States, Brazil, the United Kingdom, and the Single Euro Payments Area. This is the preferable option given that credit and debit card fees for buying crypto can be very large indeed, and bank transfers are typically free. There is also the issue in some countries where banks prevent users from buying crypto with their bank cards, making bank transfers a much more viable option.
Uniswap will initially support the purchase of DAI, ETH, USDC, USDT, Wrapped Bitcoin (wBTC), and Wrapped Ether (wETH), depending on the user’s region.
Uniswap Follows Metamask
Decentralized exchanges like Uniswap, are considered safer than centralized exchanges because they offer self-custodial wallets, permissionless protocols, and transparent public ledgers, which provide built-in protection for users. Being able to buy crypto directly through the space’s biggest DeFi exchange will therefore be a big draw for those wanting to join the space and who may be put off by the collapse of FTX.
Uniswap’s announcement comes hot on the heels of DeFi wallet Metamask offering the same service, showing that decentralized services are slowly catching up with centralized ones.
