Mexican bitcoin exchange Bitso has secured a seed-funding round led by Barry Silbert’s Digital Currency group which was participated in by Mexico-based angel investors.
With the new financing, Bitso plans to expand its team in Mexico and aggressively push its project to use bitcoin for cross-border payments across South America. Since the majority of the population has no access to bank accounts or credit cards, Bitso aims to provide the nation with a cheaper yet robust mobile payment platform by connecting its bitcoin exchange with Transfer.
Transfer is a lightweight banking initiative developed by the Mexican government as a collaboration with Mexican banks and corporations including Banamex, Inbursa, Telcel and Oxxo.
Similar to M-Pesa, the popular mobile payment service launched by Vodafone in Kenya, the joint project of Transfer and Bitso allows users to send pesos using bitcoin to more than 100 million cell phones in Mexico. The receivers can withdraw cash at Banamex or Inbursa ATMs, creating a nationwide network of bitcoin withdrawal locations, thus increasing national bitcoin adoption.
“Whether you are talking about new payments services that help facilitate faster and cheaper money transfers across the world’s most active remittance corridor, or mobile money and