Why Exchanges fail to provide a mainstream solution to buy Bitcoin?
68% of millenials thinks that we will access money differently in 5 years.
This is a huge deal. Bitcoin’s ability to transact across borders will provide new financial services to billions of people who need to access a better financial system. Millenials live and breathe technology. No matter their experience, background, skills, they want to have an asset that can travel with them, completely encrypted et secured.
Millenials will be the next generation of casual crypto enthusiasts.
If bitcoin is the internet of money, there’s a lot of work left to be done on the infrastructure to improve accessibility for everyone.
To handle this new influx of people, a user-friendly platform is needed to access the leading blockchain assets in minutes. But the only way to buy your first Bitcoin -half a Bitcoin? 😅 is generally through a Cryptocurrency Exchange.
Exchanges are built for traders.
- Know-your-customer procedures are way too long
Compliance is really important for any crypto-startup, as this is how you provide the highest quality of services to your customers.
At Bitit we make sure our processes are compliant with the Third and Fourth European AML Directives on the prevention of the use of the Financial System for the purposes of Money Laundering or Terrorist Financing, including the need to have adequate systems and controls in place to mitigate risk.
But that’s not an excuse to only receive your account approval several days later, needing to provide a lot of paperwork even before making your first purchase, right?
2. The most common payment method on exchanges is wire transfer
If you are based in developed countries you might be forgiven for thinking that everyone is happy using a credit card-based payment system or wire transfer. However, the reality for many markets is that cash and local payment methods are king. Having cards and wire transfers as payment methods is great, but it’s really not relevant for a growing user base coming from all parts of the world.
3. Lack of UX and UI
In some of the most popular exchanges, before even thinking about buying or selling you will be put off by the user interface that was made for a professional trader. The first page is saturated with unnecessary information, especially for a customer who just wants to buy their first coin.
As a rule, little thought has been put into UX and UI, so as a casual user you go through a difficult process to understand and start using the exchange — a process that can take several days.
These pain points are really complex, intricate and time-consuming for a casual user who just wants to buy their first €25 of Bitcoin.
How we do it at Bitit
We get you started on one thing: Acquiring cryptocurrencies in minutes through a simple and intuitive e-commerce platform.
With Bitit you can:
Start buying Bitcoin and Ethereum in a matter of minutes
To have a comfortable and safe KYC, we worked on a new framework. If you want to buy a small amount of Bitcoin (under €150) you only have to submit basic information (Simple Due Diligence) about your identity such as your name, birth date, phone number, country and address. If you want to buy a more substantial amount, we’ll direct you to our second KYC plan which is a Full Due Diligence.
Use credit cards & local payment methods
We work with the top payment specialists in each market that we operating in, going beyond credit cards to propose local payment methods such as WeChat for China, cash payment methods for emerging countries using Cashlib and Neosurf prepaid vouchers, Direct Banking for Eastern Europe using Trustpay… and all in local currencies such as USD, EUR, CAD, NGN.
Enjoy a fluid e-commerce purchasing experience
For the UI/UX part we managed to build an interface without unnecessary information, thinking about it with the hypothesis that the average person and the professional would enjoy a website that focuses on the main features needed for an exchange — buying and selling (soon) !
Bitcoin companies should find the right balance between an efficient KYC to regulate risk and a comfortable experience that doesn’t irritate customers.
Design factor is important, since an interface made only for professional traders will be bad for a company’s retention.