The introduction of cryptocurrencies and Blockchain has been evidenced across a number of industries and these changes are still very much ongoing. Some may argue that the adoption rate is still too slow, while others would say that regulation has been too lax and that the “good” days of cryptocurrency markets are over. However, there is plenty to suggest that there is future for cryptocurrencies and cryptocurrency trading in general. In particular, the move towards regulation is in itself a strong indication that crypto-markets are here to stay for the long term.
There is a famous 1800s saying: “This is a money digging world of ours; and, as it is said, ‘there are more ways than one to skin a cat,’ so are there more ways than one of digging for money”.
There are plenty of venues and vendors that traders can turn to in order to acquire coins and tokens. For novice traders in particular, it is not easy to differentiate between various platforms. The key points to consider are of course security and overall platform stability. After this, it comes down to selecting an exchange that offers functionality is either unique or at least considered a niche - such as that Changelly aims to provide, while also ensuring execution quality, robustness and speed.
This is exactly what the recently announced partnership between Changelly and Binance is aiming to achieve. Changelly, an exchange that enables users to instantly exchange over 100 altcoins or buy them using a bank card, has announced its partnership with the number one exchange platform Binance. Integrating Binance’s API, Changelly would allow its users to exchange a range of coins on the website faster and at more appealing rates offered by Binance.
In a recent meeting which also marked the official announcement of the partnership, the heads of the two companies also took time to discuss other topics such as fundamental industry issues and government regulations. Speaking to reporters, Changpeng Zhao, aka CZ, CEO of Binance has commented:
“After meeting Konstantin in person to finalize our partnership, I am confident that Changelly has a professional team with great experience and even bigger potential. We believe that together we will provide users all over the world with a top-class level of service.”
This was echoed by Konstantin Gladych, CEO at Changelly:
“This partnership is a huge honor for Changelly: I am sure that it will help us provide even higher-quality service to our users around the world and increase our presence on the crypto market. The top exchange trusts us to have business with — this gives us confidence in what we do, and also responsibility to ensure five-star user experience. We are up for the challenge!”
Let’s recap on how such a partnership can develop the modern cryptocurrency ecosystem and what benefits it could provide to the parties involved.
Changelly and Binance
Changelly’s key selling point is that it provides access and the facility to exchange more than 100 different coins, as well as tokens and buy them back using a bank card. To carry out the transactions quickly and seamlessly, the company offers its API feed and a customizable payment widget, which makes the business in entering partnership particularly easy and straightforward.
Since the inception in 2015, Changelly has attracted over 2 mln registered customers from around the world and processes around 15,000 transactions daily with a monthly turnover of around 60,000 Bitcoin (BTC).
At the same time, the company was proactive in partnering with other platforms to increase market awareness and consequently market share. Changelly provides an instant exchange API for partners such as Jaxx, Coinmarketcap, Breadwallet, Coinomi, Mycelium, Coinpayments, and others.
It enables their users to exchange cryptocurrency without using external exchanges. Changelly acts as a mediator between Binance and its partners, bringing new exchange options and sharing profit. The latest announcement will further solidify the company’s already established market presence and result in even higher transaction volume.
For a partnership to succeed, it needs to work both ways. Changelly obviously benefits from having access to Binance’s listed cryptocurrency assets, while Binance ensures future growth. For one, it opens up the door to new markets and the opportunity to acquire new users and therefore lead to higher transaction volumes. It also reinforces the message that cryptocurrency trading markets are here to stay.
The uncertainty surrounding the regulatory outlook is something that market participants are keenly aware of. As such, it remains to be seen how many vendors will survive this phase. However, Binance focuses on security and robustness, without jeopardising execution speed - which as it stands is capable of processing more than 1.4 mln orders per second.
Binance was founded by a team of FinTech and cryptocurrency experts, by utilizing the knowledge from two different sectors that are still learning how to coexist is what allowed the team to attract such high volume of professional traders.
Benefits of partnership: what’s in it for the users?
Having access to top quality coins and tokens is not something to be taken for granted, especially given the challenging market conditions which have depressed trading volumes across a number of venues and coins alike. Competition is high and not every vendor can boast of being able to process 1.4 mln orders per second, while also ensuring safety and stability via its multi-tier and multi-cluster system architecture.
Likewise, being able to leverage information from multiple locations ensures that the users of the platform are offered the lowest exchange rates. The Changelly team have realized that competing against the likes of Binance and other major exchanges is not something they want to get involved in and as such, they make no claim of having a platform that specialises in cryptocurrency trading. However, the trading bots and the AI that runs the module are extremely efficient at delivering exactly what it claims to do well - exchange cryptocurrencies in a few clicks rather than diving into technically complicated process of bids and ask orders on the trading platform.
One of the most outstanding visionaries in crypto space, I’ve ever met! CEO @cz_binance shared secret sauce of @binance_2017 success, not only top quality service, but $BNB coin economy. Talked about DEX & Atomic Swaps. Discussed future partnership of Binance with @Changelly_team pic.twitter.com/nsM2RkD6DS
— Konstantin Gladych (@gladkos) March 15, 2018
Don't compete, co-operate
Trading is not for everyone and while Binance may be the leading vendor for crypto trading, extra liquidity is not something an exchange or traders will refuse to accept. This is especially the case when this liquidity comes from a venue that boasts to have access to over 2 mln registered customers from around the world and a monthly turnover of around 60,000 BTC.
Given the highly competitive nature of cryptocurrency markets, especially when it comes to trading and exchange, it really takes visionary leadership to partake in such partnership. Other vendors will oversee long-term benefits in sharing and will focus on short-term gains. However, the beauty with this partnership is that gains are realised both in the very short-term and also long-term plans for both companies.
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