by Robert DeVoe
For those who are new to cryptocurrency, buying altcoins can sometimes seem like a daunting task. Usually, one must first get their hands on bitcoin before anything else. Then, they will need to send that bitcoin to an exchange (and likely pay a hefty fee in doing so), exchange it for their desired alt (and pay another fee), then finally withdraw their shiny new altcoin to an outside wallet, paying a fee a third time.
While instant exchange services like ShapeShift and Flyp.Me do exist, their selection of altcoins is limited, and they may not have what you what. Additionally, you will still need to buy bitcoin or another cryptocurrency first before you can use a service like this. For vertcoin (VTC), this situation may soon change thanks to Vertbase.
The Trouble With Crypto
One of the biggest hurdles preventing mass adoption of cryptocurrency is what expert Andreas Antonopoulos calls “on-ramps.” Meaning, methods or services that allow people to buy cryptocurrency. The most popular choice, Coinbase, comes with hefty fees, limits and a limited selection. It also has strict KYC (ID) requirements that can shut some potential buyers out. It’s exchange platform GDAX is even stricter.
Until the day comes when people are paid in cryptocurrency, those wanting to get in on the crypto revolution will need to buy in with fiat currency. Therefore, these on-ramps are essential for the eventual mass adoption.
Sites like Coinbase also allow for the selling of cryptocurrency in exchange for fiat currency, which is also an essential service.
Vertcoin and Vertbase
Before we cover what Vertbase is, let’s review Vertcoin. If you’re already familiar, feel free to skip ahead.
Vertcoin is a popular altcoin that is designed to have highly decentralized mining through its ASIC resistance. It has a strong fan following and is available on a number of popular exchanges. It has also seen steady price growth, and it recently underwent its first mining reward reduction.
Vertbase.com is a site that appeared sometime in early December 2017. The site claims that it aims to be a USD to Vertcoin gateway, that will allow buyers to purchase Vertcoin directly with USD, much like how Coinbase works.
Vertbase in Action?
According to Vertbase, the site’s purpose is to “[allow] US-based citizens to easily sign up, securely connect their bank accounts and buy or sell vertcoin.”
Unfortunately, Vertbase is not yet up and running. The site is instead asking for potential users to sign up to be whitelisted for early access. As the site appears to be based in the US or at least targeted at US customers exclusively, the company behind it will likely need to jump through a myriad of legal hoops before they can begin operation.
How do Vertbase fees compare to their incumbent competitor? Coinbase does share its fee structure, but it is so needlessly complicated that any normal human being would need a Vulcan interpreter to understand them fully. So how will Vertbase compare? At the moment, their fees page is blank and only contains a “Coming Soon…” message.
Impact on Vertcoin?
While the service is admittedly still not in operation yet, it’s impact on vertcoin could be significant; this is especially true if the service can offer lower fees than Coinbase. Even if a buyers goal is not to hold vertcoin, they could still buy the altcoin and use it as a medium of exchange. Vertcoin has very low fees, making it an ideal transaction currency.
If this happens, it is entirely possible that vertcoin could become a new standard in cryptocurrency for facilitating exchanges. This would in turn increase demand, and the price. If it is always restricted to US-based buyers, however, then this effect would be severely limited in scope, though not insignificant.
But will Vertbase really go live, or will it fall victim to endless bureaucracy and fail to launch?