With over 30 investors and $1,889,012 million raised so far, Mexican bitcoin exchange startup Bitso is looking to take on the remittance market.
Mexico’s remittance alone per month is a $2bn industry, and as many know already using bitcoin as a means to transfer value globally for pennies and nearly-instantly, is a huge attraction.
Bitso realized this opportunity and recently set up a public investing round with Bnk To The Future, a global online investment platform that allows qualifying investors to invest in financial innovation including fintech companies. In the round of investments, Bitso has almost reached their goal of $2m, with a couple of weeks left still for qualified investors to enter the round.
Bitso is a bitcoin exchange based in Mexico which has already had seen some success. Just last year the exchange startup acquired competing exchange Unisend, to help corner the market.
In an email to media Bitso CEO Pablo Gonzalez said,
“Mexico is home to the endpoint of the largest remittance corridor in the world, with a flow of over $25.4 billion in 2015. We believe that Mexicans should be able to send their money back home, and Bitcoin is fast becoming a cheaper and faster way to do that as our platform volume increases. We feel making money flow freely is a great innovation that should not be hindered by traditional currency wars”
In a Bitso slide deck to investors, they laid out the problems that are faced with remittance in Mexico, and how bitcoin is able to provide a solution that is cheaper and more effective than traditional money transfers and banking. Bitso is trying to position themselves as the leader in Mexico, with strategic partnership and integration with Mexico’s interbank payment system.
The competition around the world with bitcoin exchanges is rapidly growing, in particular in Mexico there are already other bitcoin exchanges that are trying to tackle the same issues and the same customer base, for example MexBT, Volabit, and others.