Seattle crypto startup Coinme has garnered more than $5 million in funding through a new round led by Pantera Capital, a bitcoin investment firm. The company’s co-chief investment officer Joey Krug is now set to join the startup’s board of directors.
Coinme Is Growing Like Never Before
In total, Coinme managed to get its fingers on an additional $5.5 million, which it says it will use to increase its cryptocurrency ATM and kiosk network across the United States. The company has been on fire since January of last year when it first joined hands with Coin Star, a company that allows people to turn their loose change into dollars.
The partnership initially permitted people to convert their fiat funds into bitcoin, as well as purchase cryptocurrencies from kiosks throughout the country. The maneuver was designed to make digital currency more mainstream and boost its legitimacy by introducing it to a long list of new customers.
Coinme has been around since 2014. After six years in business, it now has more than 3,500 locations across nearly 30 states.
The company says it has never seen the kind of action it’s witnessed over the past few weeks. Many people appear to be turning to bitcoin and crypto more as the coronavirus pandemic rages on. Fears of inflation and financial overprinting following the approval of a mega stimulus package in March is causing many individuals to turn to more speculative assets as a means of hedging their wealth against economic strife.
Coinme CEO Neil Bergquist says that the company’s transaction volume has exploded by more than 40 percent over the last three months. He states:
The mantra these days is that bitcoin was born in a financial crisis and it will come of age in this one.
He also comments that the heavy increase in transactions and bitcoin interest likely stems from the halving which is set to occur next Tuesday. During this time, mining rewards will be reduced from 12.5 BTC to about 6.25 BTC, meaning bitcoin will become more exclusive as block rewards get smaller. Many analysts have predicted that the event will provide a serious boost to the asset’s price.
Bergquist says he’s quite confident that bitcoin will hold its ground during the ongoing pandemic. He also says that a day will come in which people will have no choice but to pay with cryptocurrency, and that many people will potentially own BTC without even realizing it.
Bitcoin Will Become A Major Asset in the Future
This interoperability enables global commerce, financial inclusion and equal access to different forms of money. The global socioeconomic impact will be profound.
Coinme currently has nearly 30 employees and says it will grow as much as 50 percent by the end of this year. It has also announced new plans to expand into Latin American territories.