Bitcoin enthusiasts living in the United States have multiple options at their disposal for buying and selling cryptocurrencies. Even so, there is still plenty of room for future improvements and competing services. Blockchain, the renowned Bitcoin wallet provider, has partnered with SFOX to make it more convenient to buy and sell cryptocurrencies and digital assets. Users in over 20 states can use this platform as of right now, which will bring some much-needed competition to the ecosystem.
BLOCKCHAIN LETS USERS SELL BITCOIN WITH EASE
It is always interesting to see Bitcoin-oriented companies evolve over time. Blockchain started out as a Bitcoin wallet service provider, both for online and mobile users. Over time, the company enabled support for Ethereum as well, which was somewhat of a surprise. To keep the momentum going, the company has now partnered with SFOX to let US-based users sell Bitcoin quickly and easily. This is another major development for this reputable company as it tries to enter new markets and expand its reach.
Although the functionality is only available in 22 states, it is still a good start. Trading Bitcoin in the US is subject to different legislation and guidelines in every single state. Some states have made it all but impossible for Bitcoin to thrive. Other US states are more open-minded, which means there is a chance for companies such as Blockchain to make a big impact. As one would expect, states such as New York, Washington, and Florida are not supported by the company at this time.
To make use of this new service, users will need to make some changes to their Blockchain accounts. An email address and mobile number will first need to be verified. Basic information will need to be submitted as well, including one’s name, address, and identity verification documents. This is not a new way of buying or selling Bitcoin anonymously, and thus anyone looking for such a service will be sorely disappointed. There’s a good reason why this service is not anonymous, as Blockchain adheres to all KYC and AML guidelines.
Furthermore, Blockchain users will need to link their bank account. People doing so through the Blockchain wallet will be able to start selling Bitcoin immediately. Those entering information manually will need to verify two small deposits, which is similar to how Coinbase works. Once their bank account has been set up, users can then sell as little or as much Bitcoin as they like. There will be some daily limits to take into account at first, but it seems those limits will be raised over time.
Do keep in mind not every Blockchain user will be approved for this service automatically. There is a very real chance that some users will be rejected, for various reasons. So far, no one has been rejected yet, but it is important to be as transparent as possible when signing up for this service. Sellers who wish to use a fake identity or omit specific information are better off looking for other solutions, by the look of things.
The big question, of course, is how popular Blockchain’s new service can become. With 22 US states supported, it is still a rather limited market. At the same time, having more competing services in the mix can only be considered a positive development. It is unclear if additional payment methods such as credit cards will be added in the future, but that seems highly unlikely. Moreover, it appears SFOX will take care of the people buying Bitcoin, and thus there is no real need to support anything but bank accounts for those people selling their cryptocurrency.