Uniswap users can now purchase crypto using their credit and debit cards.
Crypto purchases through fiat will be available on Ethereum mainnet, Polygon, Optimism, and Arbitrum.
The service will be provided with no minimum fees and zero spreads on USDC purchases.
The protocol is working on an option to convert crypto to fiat to send into bank accounts.
Uniswap, the largest decentralized exchange (DEX) by trading volume, has enabled crypto purchases through fiat. Users of Uniswap Protocol will now be able to buy crypto using their credit and debit cards as well as through a bank transfer. This feature has been developed in association with Moonpay.
Uniswap brings DeFi closer to users
The new feature has been described by the DEX as “direct to DeFi”. The aim is to eliminate the need for a middleman and bring users directly to the DeFi experience through a seamless onboarding experience.
With self-custodial wallets, permissionless and immutable protocols, and a transparent public ledger, DEXs have built-in user protections.” the press release read.
While card payments will be supported in 160+ countries, bank transfers will be available for most of the US, Brazil, Single Euro Payments Area (SEPA), and the UK. As of now, users can purchase DAI, ETH, MATIC, USDC, USDT, WBTC, and WETH. However, WBTC and WETH will not be available for users in the US. As of now, Uniswap is only supporting four chains for this feature, namely Ethereum mainnet, Polygon, Optimism, and Arbitrum.
No minimum fees
Uniswap has clarified that this feature has been made available with zero minimum fees. Additionally, users can enjoy zero spreads on their USDC purchases. The protocol is also working to integrate an off-ramp so that users can send crypto back into their bank accounts.
While the feature has been marketed as a push towards DeFi, users who choose to go through Moonpay to purchase crypto will have to comply with its KYC/AML policy. Uniswap has clarified that the customer data acquired by Moonpay will not be shared with them.