At this time, there are two camps in the world of Bitcoin exchange platforms. On the one hand, there are the traditional Bitcoin exchanges, where users deposit funds and withdraw it through the exchange’s accounts. On the other hand, there are decentralized peer-to-peer exchanges that are slowly but surely gaining more popularity.
Coinffeine Launches in 70 Countries
When a new Bitcoin exchange launches, there is usually the question of whether or not it will be available outside of the continents of Europe, the US and Asia. And in most cases, the answer to that question is no, due to regulatory and legislative requirements that need to be taken into account in most parts of the world.
Coinffeine is doing things slightly different from most exchanges, as they are one of the first platforms that will not handle user funds directly. As a result, there are different regulations to take into account; Coinffeine is technically speaking not a money transmitter unlike exchanges such as Coinbase and Bitstamp.
Because of this greater freedom, Coinffeine has managed to offer its services in 70 countries from day one, including areas such as Indonesia, China and Brazil. It goes without saying that most Bitcoin companies can only dream of such an international expansion at an early stage. None of this would have been possible without the support of Spanish bank BankInter, who supported Coinffeine in the very early stages of the project.
The way Coinffeine works, is by taking Satoshi Nakamoto’s vision of a decentralized market with peer-to-peer trades to a new level. Not only are users able to exchange Bitcoin in this fashion, but fiat currencies can also be sent between users directly, rather than funds passing through a centralized bank account or Bitcoin wallet.
An additional benefit of using a decentralized peer-to-peer model for trading comes in the form of not requiring users to provide documents confirming their identity. Unlike most Bitcoin exchanges, where ID verification is an integral part of the signup process, Coinffeine users are not enforced to comply with KYC laws.
“Not having to identify users or enforce KYC laws has allowed us to design a much more scale-able exchange model. But, what is even more interesting, is the user experience we offer. Coinffeine is like BitTorrent. You just download it, you connect your OKPAY account, or PayPal in the future and use it” said Alberto Gómez Toribio, Coinffeine CEO.
Not For Everyone, But There Are Advantages
Even though Coinffeine wants to advertise their product as a service that anyone can use in a convenient way, not all Bitcoin enthusiasts will warm up to the idea of such a platform. Granted, selling Bitcoin is a secure and convenient way and is always a welcome addition to the digital currency world.
Additionally, Coinffeine combines the concepts of a Bitcoin exchange platform and wallet into one product. In doing so, the company created a desktop application for all major operating systems, which allows users to store, buy and sell bitcoins automatically without having to open browser windows or anything else.
At the time of publication, Coinffeine only supports OKPay as a payment processor, with support for other services such as Paypal coming soon. It has to be said however, that in order to use the Coinffeine desktop application, customers will need [to create] an OKPay account to complete the setup process.
Source: Press Release via Email
Images courtesy of Coinffeine