The successful joint venture of Binance and Liechtenstein Cryptoassets Exchange (LCX), on August 16, 2018, heralded the launch of a fiat-to-crypto exchange. Binance LCX will be located in Liechtenstein, one of the most crypto friendly nation in the world, according to the press release.
The platform will allow for trading between Fiat currency and cryptocurrency. To start Binance LCX will have trading of Swiss Franc (CHF) and Euros (EUR) against major cryptocurrencies, with the door left open for future additions.
The Binance and LCX venture hopes to create the most reliable exchange that processes fiat to cryptocurrency transactions. Binance LCX intends to comply with both federal and international regulations. The new exchange is going to benefit from the efficiency of Binance and the crypto friendly environment that Liechtenstein will provide.
Binance, with their unquestionable track record of success, will handle the technological aspects of the exchange, since it is built on the Binance blockchain. The Binance LCX team will be made up of about 10 to 15 people who will take charge of communications, customer support and ensure compliance with regulations.
Judging from previous projects handled by both players involved, one can look forward to this also being a success. Both teams have shown optimism with Binance CEO Changpeng Zhao stating:
“I believe Binance LCX will create a sustainable and reliable fiat-crypto gateway for professional and regular investors alike. I hope Binance LCX will drive new standards for usability and compliance for the blockchain industry, and we are very excited to bring the relevant experience and best practices to grow our team at Liechtenstein,”
Monty Metzger, the CEO of LCX, also shares similar excitement with Zhao stating:
“Professional investors need a reliable fiat channel to invest into crypto assets……We are excited to launch the joint-venture with Binance to establish new standards for the blockchain industry.”
Providing an ultimate secured vault, Binance LCX will afford crypto asset owners the feature of a dedicated hardware security module that supports multi-signature authorization for transactions.
Professional investors can look forward to institutional grade security for their crypto assets. To make for a smooth transition, Binance LCX promises users a platform with tools similar to those available in traditional trading platforms. Only this time, users will be dealing with crypto.
The answer to this question is the fact that Liechtenstein is considered one of the most crypto friendly country in the world. Their stand towards cryptocurrency and blockchain is open and favorable as proven by legislation in March 2018 to regulate crypto and blockchain. During the launch of Binance LCX, the Prime Minister of Liechtenstein stated
“We are confident that Liechtenstein’s existing and future legal framework and practice provide a robust foundation for the Binance LCX and other blockchain companies to provide exceptional services here in Liechtenstein.”
The prime minister’s statement reflects the position of Liechtenstein’s economy as a haven to cryptocurrency and blockchain. The Binance LCX venture is precisely what the crypto market needs, the introduction of newer initiatives to help bridge the gap between fiat and cryptocurrency.
Remember folks, Crypto is coming!
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