MetaMask, the parent company of ConsenSys, has announced an integration with fintech firm Sardine that will make it easier for users to convert their fiat into crypto.
Instead of having to wait for traditional fund transfers to clear, MetaMask users will now be able to fund their crypto wallets instantly via bank transfers.
ConsenSys argued in a blog post that for some users, instant ACH transfers via Sardine are superior to other methods. Using a cryptocurrency exchange or paying with a credit card, for example, can be less flexible because those methods may have monetary limits or result in declined transactions.
Users will be able to exchange their hard-earned money for more than 30 tokens with the new MetaMask connection, up to Sardine’s $3,000 daily transaction cap.
Instant conversions and purchases, however, can make people concerned about their safety and wonder if there is a higher chance of fraud or other illegal behaviour.
In its announcement post on Twitter, MetaMask stated that “Sardine’s payment system helps combat fraud,” although it did not elaborate.
On its homepage, Sardine’s website boasts that its developers “developed the fraud detection and compliance architecture that scaled both Coinbase and Revolut.” This gives some additional perspective. Additionally, it asserts that its technology can identify 300% more fraud than competing suppliers and that customers of its platform purportedly experience 90% less identity fraud overall.
The startup claims Sardine accepts full responsibility for any chargebacks or returns for other business clients utilising its services, indicating confidence in its capacity to identify and prevent fraud. Additionally, it has strong financial backing; last month, Andreessen Horowitz led a $51.5 million Series B fundraising round for Sardine.
However, it’s unclear what obligations MetaMask users have when using Sardine to move money, and whether Sardine will be able to spot cryptocurrency wallet fraud, such as when a hacker is successful in obtaining the private key to a wallet and deposits funds into the corresponding bank account.
