Banxa, a gateway solution that specializes in transferring fiat currency into cryptocurrency, signed Series A investment round worth $2 million with NGC Ventures, the companies announced in a statement.
Banxa is internationally compliant, and one of a growing number of firms seeking to take blockchain payments technology to consumers. Although blockchain is not yet mainstream, Banxa Founder and Chairman Domenic Carosa stated an increasing number of consumers turn to it as an alternative to the regular payments system.
“After almost six years in the blockchain industry, our goal remains the same––to champion a fairer, more open and more secure financial system for the benefit of consumers and businesses alike,” Carosa said in the statement.
Current eCommerce fraud trends contribute to the number of people interested in alternative crypto-based technologies. In fact, the press release specifically cites “zero chargebacks” as one of the main benefits of Banxa’s technology and payments model.
With data breach attacks occurring daily, many consumers believe their data is vulnerable even if a fraudster doesn’t steal their credit card information at the point of transaction.
“As a global payment infrastructure that looks to become the preferred digital banking service provider of the future, we now find ourselves entering this next phase of maturity as a company as we continue to support users looking to benefit from the full potential of their digital asset holdings,” Carosa said.
In an interview with cryptocurrency news outlet ‘The Block’, GNC founding partner Roger Lim stated the decision to invest in Banxa came from the company’s dual emphasis on customer experience and regulatory compliance.
“Banxa is uniquely positioned within the crypto economy, primed to support the ever-evolving financial preferences of a digitally-savvy generation,” he said. “Banxa addresses the issue of user experience and onboarding while providing the much-needed regulatory assurances for newcomers to this nascent digital asset class.”