MakerDAO Partners With Payment Processor Simplex To Create A Fiat On-Ramp For Dai
In a press statement released on March 3, renowned DeFi player MakerDAO stated that it has inked a deal with Simplex, renowned payment processor, to develop a fiat-on-ramp for its decentralized stablecoin, Dai, Cointelegraph reports.
The new deal means that it is now possible to purchase Dai using both debit and credit cards from Simplex’s partner companies. Gustav Arentoft the business development head in Europe for Maker explained that the partnership will be beneficial to users now and in the future. He said:
“Having Dai integrated into Simplex is a benefit to current and future users, […] it gives them a straightforward fiat on- and off-ramp with access to the industry’s biggest players.”
A renowned firm within the DeFi sector, MakerDAO, is firm behind the decentralized stablecoin Dai that operates on the Ethereum network for smart contracts. By publication time, DeFi Pulse, DeFi data website, indicated that the decentralized finance applications have a total of $967.4 million locked in them where $550 million, approximately 56%, is locked within MakerDAO’s protocol.
Simplex holds the coveted European Union license for financial institution and boasts of more than 100 partners which support about 13 divergent cryptos as well as 19 various fiat currencies. At the moment, Simplex supports Bitcoin, Binance USD, Nano, Binance Coin, Dash, Tron, Litecoin, Ether, XRP, Cosmos, and Bitcoin Cash.
Simplex has also partnered with different crypto exchange platforms such as OKEx, Binance, OKCoin and KuCoin to enable card payments.
A spokesperson from Simplex stated that MakerDAO started the contract negotiations and many such contracts are lined up from different crypto-asset teams that are keen on creating on-ramp distribution channels. The spokesperson also explained that the partnership will have a positive effect on demand as well as the price as has been the case with other cryptos that the network has been added to.
DeFi solutions have been on the rise in the recent past and DeFi Pulse indicates that the assets locked in these apps has risen by more than 186% in comparison to an year ago.