Eqonex, a Nasdaq-listed digital asset company, will receive a $36 million convertible loan from Binance's new payment subsidiary Bifinity.
Bifinity, Binance's official fiat-to-crypto payment company, was established on Monday to integrate crypto service providers with the traditional financial system, as per the crypto exchange.
The latest crypto payment platform enables merchants and enterprises to embrace and offer crypto services to their customers by allowing them to provide buy-and-sell crypto services and also API crypto payment integrations.
Bifinity has collaborated with various crypto firms, including Eqonex, a Nasdaq-listed digital asset investment firm, as part of its inaugural attempt to overcome the gap between the crypto industry and traditional finance.
According to a different release by Eqonex, Bifinity has signed a strategic collaboration with Eqonex to offer a $36 million convertible loan to mutually extend the firms' services, including Eqonex's crypto custody solution Digivault. Bifinity will also be able to select the chief executive officer, chief financial officer, and chief legal officer of Eqonex, and also designate two seats on the Eqonex Board of Directors, from within its own firm. Eqonex is well-known for its Bitcoin investing options, such as BTC futures.
Eqonex chairman Chi-Won Yoon said, "This transaction marks the next logical step in our company's evolution, representing an important opportunity to grow our footprint and expand our regulated offerings for the benefit of our customers and shareholders."
Bifinity will work with key crypto wallet providers and blockchain platforms, including Safepal and Ziliqa, to offer fiat on- and off-ramp options to their clients, in addition to Eqonex. Bifinity is also collaborating with Paysafe, a specialist payments platform, and Checkout.com, a global payment processor.
The demand for new fiat-to-crypto on ramps has been increasing, according to Bifinity president Helen Hai, as the "crypto and Web3 economy continue to grow." “At Binance, the vision is to increase the freedom of money globally. With the launch of Bifinity, we aim to accelerate mass crypto adoption,” she said.
Binance's head of nonfungible token and fan token division, and also the head of the global fiat exchange, are all roles Hai has served thus far. Her LinkedIn page also says that she is the current head of the Binance charity foundation and interim head of mergers and acquisitions currently.