Vogogo is a payment processor which is not strictly focused on cryptocurrency, but more on its clients. Its other offerings include know-your-customer and anti-money-laundering services for firms transacting in Bitcoin and in general.
The company could represent a real disruption for the industry if it starts to gain traction, moving in on the business of companies like CoinBase and BitGo. Today Vogogo announced that it has closed an oversubscribed 12.5 million dollar funding round which was led by a few traditional financial firms: Salman Partners Inc., Clarus Securities Inc. and Beacon Securities Limited.
The new funds will be used to continue developing Vogogo’s products, which are proprietary in nature. The company’s continued success with funding shows that it’s still early days in the payments sphere of cryptocurrency.
Readers may remember that back in May, BitStamp partnered with Vogogo for its compliance services. Compliance is another expanding sector of the cryptocurrency industry, with complicated laws like New York’s BitLicense becoming part of the operating environment. Indeed, Benjamin Lawsky will be competing with Vogogo directly at his new consulting firm which will help companies deal with regulations he pushed so hard for.
Vogogo CEO Geoff Gordon said of the announcement:
The crypto industry is evolving incredibly quickly and Vogogo has developed sophisticated solutions that solve some of the largest problems crypto businesses are facing when looking to grow in global markets. The appetite we’re experiencing in the market for what our platform is able to deliver is immense and we’re committed to servicing every one of the opportunities out there.