Crypto on- and off-ramps (fiat-to-crypto and crypto-to-fiat gateways) are an integral element of the cryptocurrency system. They act as a bridge between the worlds of fiat money and cryptocurrency. Thus, digital assets are accessible to potential investors. For example, everyone, who has once bought digital assets with fiat money, has used a crypto on-ramp.
Off-ramps are exactly the opposite. They allow users to exchange their crypto to fiat money. Three types of fiat-to-crypto gateway, each having its pros and cons, are within the scope of centralized finance (CeFi):
- Native on-ramp exchanges
- Gateways, which integrate with crypto platforms
- Third-party service providers
1. Native on-ramps exchanges
This type of exchange allows users to buy a digital asset with fiat money and invest it immediately. The payment for this smooth journey into crypto investing might be a slightly higher price for a coin.
2. Gateways, which Integrate with crypto platforms
When it comes to buying digital assets, some crypto platforms can offer various payment options. The list depends on your location, ranging from bank transfers to credit cards. Even though it seems tempting to choose the best offer, you need to pay special attention to additional fees like transaction or platform commissions.
3. Third-party service providers
Some of the crypto platforms have to refer to third parties to enable users to spend fiat money to buy cryptocurrency. This means various payment methods stitched together, or even a list of different exchanges anybody can use to buy digital assets. Even though an ability to choose is always good, an investor may often get confused by such a number of options.
How to get the best on-ramp experience
Speed, convenience, price, and feedback are the criteria any user should pay attention to while choosing a crypto on-ramp. Two tips that can increase the velocity of transactions and save you not only time but also money are:
1. Pay special attention to KYC
It is necessary to pass the KYC processes when you make the first purchase from the on-ramp provider. KYC protects your personal data, finances, and security, as it is compliant with global financial regulations. If possible, try to avoid filling in too complicated forms in order to avoid spending too much time on it.
2. Choose the fastest possible gateway
Volatility and price fluctuations are among the key features of the crypto market. Therefore, any trader knows how important it is to get your funds on time. Again, it is vital to make speedy transactions to take the best of the deal regarding the volume and activity of digital asset trade.
AB Exchange solution
If you have a business and want to improve conversion, we introduce an AB Exchange solution. It will allow your clients to reasonably buy and sell crypto within your platform. We offer a gateway that can be integrated into your website to let your users easily deposit or purchase crypto with fiat money or vice versa. We assure you that all the key criteria will be included in the getaway to provide a smooth and pleasant experience for you and your users. Why hesitate? Contact us!