Types of onramps
Centralized exchanges (CEXs)
Undoubtedly the most popular types of fiat onramps, centralized exchanges are online platforms which usually offer support for a vast range of currencies and cryptocurrencies.
Exchanges are primarily focused on facilitating trading — ensuring that users can exchange fiat for crypto, crypto for crypto, or crypto for fiat. As speed is paramount for traders, these venues are usually custodial in nature: meaning that they hold user funds within their own infrastructure.
A non-custodial solution is one where the user holds the private keys to their cryptos at all times. Examples include hardware wallets (Ledger, Trezor) or software wallets (MetaMask, Cake Wallet, etc.).
There is no ‘correct’ solution: both custodial and non-custodial options serve different purposes.
With an exchange, a user will sign up and have their account verified. After this, they’ll have the option to deposit fiat currency, before being able to trade it against a trading pair like BTC/USD, USDC/GBP, ETH/INR, etc. Once this trade is completed, they can withdraw to their wallet.
Pros and cons of CEXs
PROS
CONS
Deep liquidity
Wide payment method support
Global coverage
Low fees
Not beginner-friendly
Time-consuming
KYC almost always required
Popular CEXs
Types of onramps
Bitcoin ATMs (or crypto ATMs)
A Bitcoin ATM looks just like the usual cash machines you’d expect to see from your bank. You can often find them in public places or in businesses — a tool like Coin ATM Radar can help you find nearby ones.
The process is fairly straightforward: you show up to one of these machines, scan a QR code from your mobile wallet (or input your public address manually), then make the payment with cash/card. Sometimes, you’ll need to scan your ID for KYC purposes, too.
After that, the ATM sends your BTC directly to your wallet at the exchange rate it displays.
Pros and cons of Bitcoin ATMs
PROS
CONS
Relatively easy to use
Usually little or no KYC
In-person
Location-dependent
Not the best fees
Poor crypto support
Popular Bitcoin ATMs
Types of onramps
Peer-to-peer (P2P) trades
Peer-to-peer (P2P) crypto trades involve direct interaction between two parties (the peers) — though they’re usually facilitated by an online meeting point.
In this scenario, the buyer (or the seller) makes it known that they want to purchase (or sell) a certain amount of crypto for a specified price, using a specified payment method.
When someone wants to take them up on that offer, they reach out. Then, the trade takes place, either in-person or online.
Because P2P trades are made between individuals, they tend to be riskier. Always make sure your counterparty has a good reputation before initiating a trade.
P2P trades have some strong advantages over other types of crypto onramps. Chiefly, they boast the widest range of payment methods, as buyers/sellers are free to set their own.
This is particularly convenient at a local level, as parties can accept or make payments via methods that aren’t supported by larger exchanges.
Pros and cons of P2P trades
PROS
CONS
Widest selection of payment methods
No-KYC options
No middleman
Higher risk
Dependent on availability
Typically poor exchange rates for takers
Popular P2P trading platforms
Types of onramps
Onramping widgets
Fiat-to-crypto onramp widgets are increasingly gaining popularity for startups and crypto platforms. These are portals that reside on a website or in a mobile app, allowing the user to make fiat-to-crypto swaps without the hassle of registering for an exchange or performing an in-person trade.
These come in a variety of flavors, each differing in:
Country coverage
Supported payment methods
Supported fiat currencies
Supported cryptocurrencies
KYC requirements
The value propositions of integrated onramps are simplicity and better user experience. For businesses, these crypto onramps are a huge shift from ‘traditional’ ones — because they empower platforms to offer direct fiat-to-crypto swaps, meaning that users don’t need to leave to obtain their ether, bitcoin, or other cryptocurrency.
Pros and cons of Onramping widgets
PROS
CONS
Low-KYC/No-KYC options
Very user-friendly
Easy setup for platforms
Can have costly integration fees
“Failed transaction” rates are high
Global coverage claims are rarely true
Popular fiat-to-crypto onramping widgets
Alchemy Pay
Onramp.money
Transak
Sardine
Coinify
Topper
UTORG
Onmeta
Did you know
When onramping widgets work, they provide a seamless experience. Unfortunately, a single solution will only work reliably for a small segment of users — resulting in failed transactions for others, and large gaps in worldwide coverage.
With Onramper, platforms can skip the integration fees and smash their coverage gaps by instantly adding 15+ onramps, all through a single widget. Get up and running within days, and guarantee the best fees for your users.
Integrate once — and never worry about maintenance or upgrades again.
Again, onramping widgets are unique in this line-up, in that they’re self-contained solutions that businesses can easily host on their own interfaces — without concerning themselves with compliance, maintenance, etc.
See them in action...
…in the Sushi app (hit Buy Crypto)
…on Shapeshift’s dashboard
…in Cake Wallet
What’s the best fiat onramp?
There isn’t one — it depends entirely on the user and use case:
A power trader will likely favor a centralized exchange — they’ll likely need to onramp repeatedly, so the initial setup isn’t much of a hassle in the long run. What’s more, the low fees offered by exchanges is critical for traders.
A privacy-conscious user may prefer P2P trades, valuing a lack of KYC and direct interaction with their counterparty.
A newcomer to the world of crypto might opt for an integrated onramp: these widgets mimic the flows of traditional Web 2.0 checkouts, so they’re very straightforward for those unfamiliar with the world of crypto.
Frequently asked questions
What is a crypto off-ramp?
The exact opposite of a fiat-to-crypto onramp! An off-ramp is a tool that allows you to swap your digital assets for fiat currency. The onramp categories from the previous section usually encompass off-ramps, too: e.g., centralized exchanges, P2P trades, certain ATMs and some integrated onramps allow for crypto → fiat trades.
What is KYC in crypto?
KYC stands for Know Your Customer. It refers to rules, regulations and guidelines which allow financial services to identify their users. In the context of crypto, a KYC solution is one that requires personal information from the user, such as: Their full name Their email address Their home address Their date of birth A utility bill or bank statement A passport (or other identity document) scan Clearly, not all of these are created equal: it’s much easier for a user to type in their email address than to find and upload a utility bill. As such, you might hear the terms no KYC (for solutions that require none of this information), low KYC (for requirements that are easy to satisfy, such as a full name/home address) or high KYC (which requires document upload and, often, human verification).
What’s the easiest way to buy crypto?
For users, the easiest path from cash to crypto is undoubtedly via an onramping widget: in many cases, they won’t even need to create an account or submit documents for KYC purposes. You can see just how easy the process is with the Onramper widget: simply click the link and select a country in the Settings to see how it works for different users in different countries. The smart routing engines that underpin it ensure that, out of the 17 connected onramps, users will be matched with the best option for them — based on likelihood of success, fees and simplicity.
How can crypto platforms increase users?
There’s no quick hack that can bring in new users. Ultimately, it boils down to creating a product they want to use. Yes, we may have a slight bias — but we believe an integrated onramping widget is an indispensable part of any offering. And, at just eight lines of code to integrate, you can’t go wrong with a plug-and-play solution like the Onramper widget. Crucially, such a solution enables your new users to buy crypto, right on your platform. That means you won’t need to send them off to figure out how to buy it themselves — only for them never to return.
Why don’t DEXs support fiat?
A DEX (or decentralized exchange) is, by nature, decentralized: it leverages smart contracts on a blockchain and some clever liquidity mechanisms to ensure that users don’t need to go through a middleman. This is great for swapping tokens and cryptos, but it excludes fiat — after all, your bank accounts and credit cards aren’t plugged into the blockchain, so they can’t interface with smart contracts. With that said, platforms like Sushi have added the Onramper integration to allow users to buy crypto, which can then be immediately swapped for any digital asset available via their DEX.
