As of today, they are more than 68 million to be able to claim it. On the Coinbase cryptocurrency exchange application, users will be able to provide their account details in order to receive their salary directly on the platform. They will be able to choose to keep the funds in dollars, but also convert them to digital tokens such as by purchasing Bitcoin.
This is a first that brings Coinbase closer to the status of a bank. But also a first in access to salaries in cryptocurrency. The announcement was made rather hastily, perhaps fitting into the current context between the platform and the financial policemen, who forbade it to launch a paid savings offer earlier in the month.
“With direct deposit, customers can more easily access our crypto-first financial services and be ready for any exchange or purchase”, said Max Branzburg, vice president of product at Coinbase. With this innovation, waiting times for customers will be shortened. The official said that many complaints from customers making frequent transfers between their bank account and Coinbase raised this issue.
A real bank
Coinbase joins Robinhood with this feature. The stock buying platform followed the same strategy. Soon, it will compete with Coinbase as it has announced its interest in launching its own crypto wallet.
Coinbase already has the advantage of accepting credit card payments to fund its account. This allows users to get their funds in seconds rather than waiting 24 to 48 hours. With direct deposit, Coinbase also expects customers to trade more as long as they no longer have the brake on supply.
Finally, with these funds placed in Coinbase accounts rather than in the bank, the platform will be able to continue developing its banking and financial tools to compete with traditional banks and neobanks. The authorities, for their part, will no longer be able to stop at the argument of the risk linked to cryptocurrencies. Coinbase will hold a corresponding share of funds in fiat currencies.
I am a technology author with 8 years of experience in journalism. My writing covers the latest technology advancements and trends, drawing on my expertise in news journalism and social media platforms. I have contributed to major media outlets such as The New York Times, The Wall Street Journal, and Reuters.
