{"id":11863,"date":"2023-05-07T10:07:54","date_gmt":"2023-05-07T10:07:54","guid":{"rendered":"https:\/\/www.cryptoheretostay.com\/?p=11863"},"modified":"2023-05-07T10:07:55","modified_gmt":"2023-05-07T10:07:55","slug":"stripe-tackles-cold-start-problem-with-the-launch-of-fiat-to-crypto-on-ramp","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=11863","title":{"rendered":"Stripe tackles \u2018cold start problem\u2019 with the launch of fiat-to-crypto on-ramp"},"content":{"rendered":"<script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script>\n<p>Internet payment processor Stripe has introduced a fiat-to-crypto on-ramp to address the \u201ccold start problem\u201d faced by Web3 companies due to customers not having \u201ccrypto in their wallets to carry out transactions.\u201d<\/p>\n<p>According to a May 4 statement, Stripe\u2019s newly launched fiat-to-crypto on-ramp, which Stripe itself will host, will allow Web3 companies to offer United States-based customers the ability to purchase crypto \u201cat the precise moment they need it\u201d without the need to embed any code into a website or app.<\/p>\n<p>Instead, customers will be directed to a link to convert their fiat into crypto.<\/p>\n<p>Guillaume Poncin, head of engineering for crypto at Stripe, said Stripe would handle several compliance-related tasks for Web3 companies using the on-ramp, including conversion and authorization optimization, identity verification and fraud prevention, to help \u201ccustomers start using Web3 services quickly and safely.\u201c<\/p>\n<p>It was noted that built-in fraud detection and identity verification tools were implemented to support companies in meeting Know Your Customer and compliance requirements.<\/p>\n<p lang=\"en\" dir=\"ltr\">We\u2019re introducing a Stripe-hosted fiat-to-crypto onramp (no code required) and unlocking the waitlist for the embeddable onramp.  https:\/\/t.co\/U9OW2cjFrZ pic.twitter.com\/jjmkDUiOqc<\/p>\n<p>\u2014 Stripe (@stripe) May 4, 2023<\/p>\n<p>Implementing the new on-ramp service aims to support Web3 companies by providing a user-friendly way for customers to top up their crypto wallets. It stated:\u00a0<\/p>\n<p>\u201cCompanies interested in offering cryptocurrency and blockchain-enabled experiences often face a cold start problem: Their customers don\u2019t have the crypto in their wallets to carry out transactions.\u201d<\/p>\n<p>Several Web3 companies, including privacy-focused browser Brave, decentralized finance protocol 1inch and blockchain protocol Lens Protocol, have already implemented Stripe\u2019s fiat-to-crypto on-ramp, according to the statement.<\/p>\n<p>James Mudgett, vice president of Web3 products at Brave, stated that the service will allow the platform to \u201creach new Web3 users.\u201d<\/p>\n<p>Meanwhile, 1inch co-founder Sergei Kunz highlighted the importance of building \u201cbridges between Web2 and Web3,\u201d adding that Stripe\u2019s experience with Web3 companies makes it \u201cwell positioned to help.\u201c<\/p>\n<p><strong><em>Related:\u00a0<\/em><\/strong><strong><em>Crypto-friendly Stripe weighs public offering: Report<\/em><\/strong><\/p>\n<p>Speaking to Cointelegraph, Ohm Shah, co-founder of Wallet Guard, stated that Stripe\u2019s new offering could \u201callow for many people to easily enter into Web3.\u201d<\/p>\n<p>However, Shah stressed the importance of conducting due diligence before purchasing digital assets, even if the customer is familiar with the company providing the fiat-to-crypto on-ramp. He noted:<\/p>\n<p>\u201cWhile on-ramping with Stripe to purchase your very first NFT [nonfungible token] can be exciting, it\u2019s important to consider how easy it is to lose your assets as all it takes is one malicious signature.\u201d<\/p>\n<p>This comes after mobile payments service\u00a0Venmo announced its own fiat-to-crypto payment service on April 28.<\/p>\n<p>During an interview at Consensus 2023, PayPal executive Jose Fernandez da Ponte said the new feature would provide a use case for digital assets because now crypto will be used for \u201cfast and free near-instant transfers between Venmo wallets and PayPal wallets, which is basically connecting two of the largest networks and wallets in the country.\u201d<\/p>\n<p>Meanwhile, Robinhood announced its\u00a0fiat-to-crypto on-ramp\u00a0at Consensus on April 27. Robinhood Connect allows users to purchase and sell crypto using a credit or debit card in their self-custody wallet or natively in decentralized applications.<\/p>\n<p><strong><em>Magazine:\u00a0<\/em><\/strong><strong><em>How to control the AIs and incentivize the humans with crypto<\/em><\/strong><\/p>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/cointelegraph.com\/news\/stripe-tackles-cold-start-problem-with-the-launch-of-fiat-to-crypto-onramp\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Internet payment processor Stripe has introduced a fiat-to-crypto on-ramp to address the \u201ccold start problem\u201d faced by Web3 companies due to customers not having \u201ccrypto in their wallets to carry out transactions.\u201d According to a May 4 statement, Stripe\u2019s newly launched fiat-to-crypto on-ramp, which Stripe itself will host, will allow Web3 companies to offer United [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":11864,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[2],"tags":[],"class_list":["post-11863","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bitcoin-news"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/11863","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=11863"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/11863\/revisions"}],"predecessor-version":[{"id":11865,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/11863\/revisions\/11865"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/11864"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=11863"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=11863"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=11863"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}