Excellent John K. Kumi is a cryptocurrency and fintech enthusiast, operations manager of a fintech platform, writer, researcher, and a huge fan of creative writing. With an Economics background, he finds much interest in the invisible factors that causes price change in anything measured with valuation. He has been in the crypto/blockchain space in the last five (5) years. He mostly watches football highlights and movies in his free time.
The Binance Pay, according to the report currently supports five currencies which are Binance Coin (BNB), Bitcoin (BTC), Ethereum (ETH), Binance USD (BUSD), and SXP.
Binance, the biggest cryptocurrency exchange in the world by volume has once again added another project to its portfolio to cement its ambition of going beyond the buying and selling of cryptos like any other platform. The company has announced the release of the Beta version of Binance Pay, a project that is said to rival PayPal Holdings Inc (NASDAQ: PYPL).
This milestone contributed to the impressive run of the Binance token which recorded an all-time high price of $52 on February 2, 2021, having moved from $37 on January 11, 2021.
Being a crypto version of PayPal, Binance Pay allows crypto payments to be made and received from friends and family worldwide. This cryptocurrency payment technology is designed to be borderless, contactless, and secure. During the unveiling of the Binance Pay at the Virtual Binance Blockchain Week, Changpeng Zhao, the CEO of the company affirmed that one of the obvious use cases of cryptocurrency is payment.
Through different innovative means, cryptocurrency is slowly establishing itself as a medium of payment after years of arguments with critics using its volatility to discredit its use. This initiative will go a long way to change the face of the cryptocurrency industry after PayPal also made a move to add Bitcoin to its services.
The Beta version of the Binance Pay has though been rolled out successfully, some challenges can affect its operation. Unlike credit cards and cash that is usually used by customers, merchants will have to put systems in place to accept currencies not used by the majority of the customers.
The system has been made in such a way that the business will not have to fluctuate with crypto. Users will be able to make payments in crypto on Binance, and the merchants will receive stablecoins backed by fiat to be converted to the required fiat currency. For now, Binance Pay will only support one type of fiat (Euros).
The Binance Pay, according to the report currently supports five currencies which are Binance Coin (BNB), Bitcoin (BTC), Ethereum (ETH), Binance USD (BUSD), and SXP from Swipe, a credit card company acquired by Binance last year.
The Binance Pay users can also transfer the required fund from their wallets by simply scanning the QR scanner on the app. Zhao in his statement entreated the audience to try the beta version of the project.
“If you can find it, you can try it, ” he said.
It is worth noting that Binance Pay comes with some sending and receiving limits. Users cannot send or receive more than 10,000 USD or make more than 10 transactions in 24 hours, and any fund received will only be available for the transaction after 24 hours. Binance Pay is available for all users on Binance.com, and it comes at a zero fee. Unfortunately, transactions made cannot be reversed, which is one demerit of the project.